GENERAL INFORMATION · FRDL Małopolska Territorial Self-Government and Administration Institute has since March 2016 been working on the assumptions of the Małopolska Action Plan

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GENERAL INFORMATION Project RATIO

Regional Actions To Innovate Operational Programmes

Project partner:

FRDL Małopolska Territorial Self-Government and Administration Institute (P.4)

Country:

Poland

NUTS2 region:

Małopolska Region

Contact: E-mail: mistia @mistia.org.pl Telephone number: +48 12 633 51 54

DEVELOPMENT POLICY CONTEXT

Action plan is targeted at making an impact

Investments towards Growth and Employment Programme European Territorial Community Programme Other instrument of regional development policy

Name of dedicated policy instrument

Strategic Programme Regional Innovation Strategy for the Małopolska Region 2014-2020

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Table of contents

INNOVATIONS IN THE COUNTRYSIDE? A few words on why the Małopolska Action Plan came to being .... 5

PART 1: Diagnosis of what we know about innovations and development of the Małopolska countryside10

/Bożena Pietras-Gos, Łukasz Mamica, Lidia Klimas/

PART 2: What may the LOCAL SELF-GOVERNMENT do for the development of innovation? ........................... 30

/Lidia Klimas, Anatol Władyka/

I. WHAT FEATURES DOES THE INNOVATIVE/RURAL INNOVATIVE SOCIETY COMMUNE HAVE AT ITS DISPOSAL ............................................................................................................................................................................. 31

II. MAŁOPOLSKA RANKING OF INNOVATIVE POTENTIAL OF THE RURAL AND URBAN-RURAL COMMUNES ......................................................................................................................................................................... 39

PART 3: What may the REGION do for the development of innovation-STRATEGICALLY ................................. 41

/Lidia Klimas, Łukasz Mamica, Anatol Władyka/

Priority I STRENGTHENING COMPETENCIES AND HUMAN CAPITAL ................................................................. 44 ACTION A: LEADERSHIP AT LOCAL LEVEL ......................................................................................................... 45

ACTION B: BUSINESS FOR THE YOUNG-THE YOUNG FOR INNOVATION ........................................................ 48

ACTION C: SHAPING OF HR RESOURCES FOR THE LABOUR MARKET ........................................................... 53

Priority II INTENSIFICATION OF DISAGRARISATION ACTIONS IN MAŁOPOLSKA ......................................... 57 ACTION D: EFFECTIVE PROGRAMMING AND IMPLEMENTING DISAGRARISATION PROCESSES ................. 57

ACTION E: DEVELOPMENT AND STRENGTHENING KNOWLEDGE FOR INNOVATION IN THE REGION ...... 60

Priority III INCUBATING AND DEVELOPING ENTREPRENEURSHIP AND INNOVATIONS ........................... 65 ACTION F: SUPPORT FOR MECHANISMS OF STIMULATING DEVELOPMENT AND INNOVATON TRANSFER

................................................................................................................................................................................ 65

ACTION G: COOPERATION FOR THE DEVELOPMENT OF ENTREPRENEURSHIP AND INNOVATION .......... 68

ACTION H: STIMULATING AND DEVELOPING LOCAL PRODUCTS ................................................................... 69

ACTION I: SUPPORT FOR DEVELOPMENT AND PROMOTION OF LOCAL TOURISM PRODUCTS ................... 71

PART 4 What can the REGION do for the development of innovation? FAST TRACK OF ACTION PLAN ........ 74

/Lidia Klimas, Łukasz Mamica, Anatol Władyka/

01.MI. EDUCATING AND DEVELOPING EMPHATIC AND CULTURE-CREATIVE LEADERS ....................................... 76 02.MI. THE SUPPORT FOR CREATION OF CO-WORKING SPACE IN RURAL AREAS .................................................... 78 03.MI. MAŁOPOLSKA WINDOW OF KNOWLEDGE AND POSSIBILITIES (paper clip) .................................................. 80 04.MI. NETWORK OF KNOWLEDGE-SELF-GOVERNMENT IN THE NETWORK FOR INNOVATION ...................... 82 06.MI. MICRO VOUCHER FOR IMPLEMENTATION .................................................................................................................... 87 07.MI. STUDENTS FOR THE COUNTRYSIDE ................................................................................................................................. 89 08.MI. VOUCHER FOR HORIZON ........................................................................................................................................................ 91

PART 5 Monitoring System ...................................................................................................................................................................... 93

/Łukasz Mamica, Anatol Władyka/

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We would like to thank the persons who actively joined in the work of the Małopolska Group of Stakeholders for the development of innovation within rural areas and the work on this Action Plan.

Agnieszka Bachórz, PhD. Prof. Ewa Bogacz-Wojtanowska, UJ Grzegorz Brach Beata Bujak-Szwaczka Renata Bukowska Małgorzata Chrapek Joanna Domańska Magdalena Doniec dr Grzegorz Dutka Krzysztof Kwatera Stanisław Łukaszczyk Robert Maciaszek Magdalena Mikołajczyk

Anna Mlost Bożena Pietras-Goc Małgorzata Popławska Małgorzata Piwowarczyk dr Paweł Ptaszek Małgorzata Rudnicka Janusz Sepioł Andrzej Skupień Tomasz Sokół Rafał Solecki Wiesław Stalmach Tadeusz Wójtowicz Sylwia Wrona

We wish to thank local governments and local organizations as well as regional institutions which actively participated in the work of the Małopolska Group of Stakeholders for the development of innovations within rural areas as well as works on this Action Plan. Agencja Rozwoju Małopolski Zachodniej S.A. Technology Transfer Centre of Cracow University of Technology, Enterprise Europe Network Centre Department of Education and Lifelong Learning of the Marshal Office of Małopolska Region Department of European Funds of the Marshal Office of Małopolska Region Department of Regional Policy of the Marshal Office of Małopolska Region Department of Treasury and Economy of the Marshal Office of Małopolska Region Biskupice Commune Bukowina Tatrzańska Commune Bystra Sidzina Commune Chełmek Commune Dąbrowa Tarnowska Commune Miechów Commune and Town Nowy Targ Commune Pałecznica Commune

Stary Sącz Commune Tymbark Commune Wielka Wieś Commune Wieprz Commune Wiśniowa Commune Institute of Philosophy and Sociology of the Pedagogy University of Krakow Institute of Public Affairs of the Jagiellonian University The Kraków Technology Park LGD "Beskid Gorlicki" LGD „Dolina Raby" LGD „Gościniec 4 Żywiołów" LGD on Śliwkowy Szlak LGD „Zielony Pierścień Tarnowa” Małopolska Entrepreneurship Centre Social Cooperative „OPOKA” Statistical Office in Kraków Podhale Folk Union

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INNOVATIONS IN THE COUNTRYSIDE?

A few words on why the Małopolska

Action Plan came to being

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RATIO-context and position of the project in Małopolska FRDL Małopolska Territorial Self-Government and Administration Institute has since March 2016 been working on the assumptions of the Małopolska Action Plan in the framework of international project devoted to the development and promotion of innovation in rural areas, called Regional actions to innovate Operational Programmes (RATIO), funded from the EU Programme INTERREG EUROPA. FRDL MISTiA represented the Małopolska Region in the project pursuant to the Act No. 931/15 of the Małopolska Region Management from 14 July 2015 on signing with the Małpolska Region of the list of support in international projects, submitted by the institutions from the Małopolska region under the Intraregional Programme INTERREG Europe (European Territorial Cooperation 2014-2020). The project was realized by FRDL MISTiA with an active participation of the Małopolska Region, including Department of Treasury and Economy, Department of Regional Policy and Department of European Funds of the Marshal Office, as well as the Małopolska Entrepreneurship Centre. Challenges of RATIO project in Małopolska-why is a change needed? Over 92% of the Małopolska communes are rural communes or rural-municipal ones, while more than half of the Małopolska inhabitants live in the countryside. Services provided by the Małopolska enterprises from rural areas may and ought to constitute a significant driving force for the areas of Małopolska outside the Kraków Metropolitan Area. In the present European context, SME located far from the urban areas have been facing a challenge with regards to their development or even survival. Improvement of their innovative potential is necessary for promoting regional economic development and combating further significant depopulation in rural areas. Assistance for Małopolska SME located in rural areas in strengthening their position in order to overcome the barriers in their growth and competitiveness constitutes a challenge for the regional innovation policies. The above mentioned barriers include: geographical isolation (distance from the urban and populated terrains), gaps in infrastructure, limited possibilities of cooperation and significant gaps in knowledge, not only in the scope of ICT. Małopolska as a region which is socially, culturally and economically diverse, despite constituting one of the strongest regions on the map of Poland, faces challenges related to the new perception of development. The accepted at the end of March 2018 new plan of spatial management encompasses resources and heritage, achievements of the region and of the local self-governments, but it also points out to the new development directions of Małopolska. Undoubtedly strong Kraków Metropolitan Area, after many years, is of significant importance for the development of innovation, however, the unused potential of the remaining areas of Małopolska, including in particular rural areas, constitutes a substantial area for consideration and planning of direction of further regional growth. How we worked on the action plan, oriented towards innovation growth in the countryside Works related to the elaboration of the Małopolska Action Plan were initially focused on establishing a proposal which would constitute a supplementation for the provisions and solutions of the Regional Innovation Strategy for the years 2014-2020, bearing in mind to a large degree the optics of development of innovation in rural areas of the region. However, in the course of the analyses and discussions with the process stakeholders, in particular with the Małopolska Group of Stakeholders, a number of aspects concerning the development of rural areas, with a significant impact on the growth of innovation in the countryside were identified. Works conducted in the project constituted in the end an attempt to view the growth of Małopolska through the prism of its potentials and resources in rural areas, as well as barriers for their development, bearing in mind the key target of innovation development. The accepted optics of perception thus constitutes an attempt to answer the questions asked with regards to the growth of the region from the perspective of the countryside inhabitants as well as the specific resources at their disposal and the barriers with which they need to cope.

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Significant aspects in the entire process of searching for new solutions, tools and instruments, which may contribute to the development of innovation in rural areas include:

Exchange of knowledge The key role in the works on the project was played by the Małopolska Group of Stakeholders for the

development of innovation in rural areas, which consisted of, among others, representatives of the region, self-government members, representing rural areas, local action groups, researchers, institutions responsible for the growth of entrepreneurship and innovation as well as entrepreneurs functioning in rural areas. The meetings of the Group of Stakeholders were targeted at an exchange of experiences and knowledge as well as discussion on the topics of directions and methods of development of innovation in rural areas of the Małopolska region (in total 10 meetings).

The exchange of knowledge and discussion of project partners of RATIO who, coming from nine organizations representing, apart from Małopolska, other regions in: Spain (leader), Germany, Czech Republic, Latvia, Estonia, Portugal, Italy and Ireland, shared their challenges and achievements with others was also of importance. It constituted an important inspiration for understanding of the development processes of innovation in rural areas, but it also delivered some tips in the scope of models of actions or individual solutions.

Participatory meetings with process stakeholders 20 local workshops, realized in October and November of 2017 within the area of 18 poviats

of Małopolska, during which the stakeholders of innovation development from rural areas could jointly search for solutions that would be adequate for rural areas.

The announcement of local workshops was the regional conference entitled Małopolska: Innovations in rural areas-If? How? Which ones?, which took place in rural areas-27 September 2017 in Ludźmierz. Approx. 100 persons attended the conference, representing different environments engaged in development actions towards rural areas, including scientists, industry environments, enterprises, representatives of the region and a large number of self-government representatives.

Researches, analyses and expert reports, targeted at formulating key outcomes-the content of the action plan.

Consultations on the proposed solutions under the elaborated action plan. How we think about innovations in the countryside? -Key assumptions in the course of RATIO works in Małopolska. What are the innovations?

They have the same meaning for the city and for the countryside-something new, usable, improving the quality of life.

Why do we ask about them in the context of a countryside? Because the countryside and its inhabitants are also developing extensively, however, not managing to use the available resources to the fullest.

Why is this dynamics of development of innovation different to KOM? In the countryside and in the city there are different resources and barriers for innovation development (key resources: landscape, heritage, Internet; key barriers: roads, access to public communication, access to knowledge etc.).

Why do we not think of innovations when we think of “countryside”? Due to the narrow perception of innovations as technological achievements. In the countryside, innovations may be other (not only in technological terms), adequately to the resources (space, heritage, social capital).

Do we need an alternative approach to their development? Stronger launching of development potential in the countryside (innovation) requires a different approach/instruments/actions then in the context of a city-adequately to the barriers.

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The Małopolska Action Plan for the development of innovation in rural areas-critical premises and conclusions:

Key paths for formulating answers: We know that innovations will occur where there are enterprises (including those with fresh/new

though and knowledge). The existing enterprises will develop when they are in possession of qualified personnel and access

to knowledge and infrastructure. New enterprises-”developmental”- will occur when more young/talented persons will come back

to the countryside. Young people will “come back” to the countryside, if a countryside “encourages them”-by creating

conditions for a good quality of living. In order to improve the conditions of living, local leaders are necessary-”development motors”.

Instruments and ecosystem for the development of innovation in rural areas

A critically important conclusion and recommendation concerning the necessary actions for the development of innovation in the countryside is undertaking active actions, not only by the regional self-government, but also by the local self-government which forms conditions for the development of innovative potential and builds innovation ecosystem. This is why key conclusions, apart from the diagnostic part, were concentrated on formulating replies, which are individual parts of the action plan: 1/ What can LOCAL SELF-GOVERNMENT do for the development of innovation?

Recommendations for local self-governments as entities creating the potential for development of innovations in rural areas.

2/ What can the REGION do for the development of innovations-STRATEGICALLY Strategic recommendations for regional self-government in the scope of development policy of rural areas in the region, in the context of innovations (innovation ecosystem). This part contains recommendations which may be significant in the framework of works on the strategy for development of the region, which will be elaborated in the context of the new spatial management plan. It is an attempt to gather applications, taken out of the course of works over the plan. Not all the postulates are possible to be realized in such short perspective of time as it was planned as the implementation phase within the project INTEREG EUROPA (that is 2 years from the moment of completion of works on the plan). Part of these proposals will be found in recommendations-the so called fast track of action plan-as ones proposed for priority implementation in relatively short period of time. These actions which are directly correlated with the development of entrepreneurship and stimulating innovation development.

3/ What can the REGION do for the development of innovation-FAST TRACK OF ACTION PLAN Proposals of actions/regional instruments, directly impacting the development of innovation on rural areas- years 2018-2020. As noted above, in this part one may find proposals of actions/ policy instruments, which are proposed for implementation in the framework of the carried out development policy of the region. These actions are recommended for implementation until March 2020; they constitute a response related to the system of carried out projects realized in the framework of INTERREG EUROPA Programme (all projects under the programme assume conceptual and obligatory two year implementation stage). Key indicators for the subject Plan were referred to this element.

Undoubtedly one must note that after almost thirty years of transformation, new challenges stand before self-governments. In the context of summing up the works on the new Action Plan it is worth noting one of the key conclusions from Ex-ante evaluation of RIS of Małopolska 2008-2013 (Kraków, November 2017):

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“It means that the future innovation strategy will be more a strategy of building social capital, which ought to have more impact on cultural conditions for innovation, education, climate for using the scientific potential than direct financing of company investments”. Therefore, within the presented Plan actions targeted at building the structure of ecosystem of innovation as an environment for people and creative institutions, open and cooperating, whose local activity and entrepreneurship constitute a driving force for the regional development were considered as critical.

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PART 1:

Diagnosis of what we know about

innovations and development of the

Małopolska countryside

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How do we understand the rural area? In accordance with the definition specified by prof. Monika Stanny, rural area is a space in which people live and manage their resources, creating local societies, but also a place which in comparison to a city: 1) has a more dispersed social and economic activity (especially the rural one), 2) has less diverse social and economic structures which is the consequence of their lesser competitiveness, 3) has less available goods and services (public). 1 Małopolska countryside in the context of social-economic development In the Małopolska voivodeship the number of people at the end of December 2016 amounted to 3,382.3 thousand persons and its share in general country population amounted to 8.8%. In comparison, in 2015 in four voivodeships: Pomorskie, Mazowieckie, Małopolska and Wielkopolskie the number of inhabitants increased. Whilst, Małopolska is one of 3 regions in which the growth rate of inhabitants was the highest and remained at the level of 0.3% (country-real decline minus 0.01%). In terms of population density, the Małopolska region remained on the second position after the Silesian region (370 persons/sqkm). Diversification of the indicator was observed in poviat division that is from the highest in the cities with poviat rights: Krakow (2342 persons/km2), Tarnów (1 521 persons/km2) and Nowy Sącz (1459 persons/km2) to the lowest in Miechowski poviat (73 persons/km2). For rural areas, the density of population amounted to 128 persons/km2. At the end of 2016, 1,637.4 thousand persons lived within the cities of Małopolska region (increase by 0.2%), whilst in the countryside this number was 1,744.9 thousand persons (increase by 0.4%). In total the inhabitants of rural areas constituted almost 52% of region's population. Urbanisation indicator, specified as share of rural inhabitants in general population, was at the level of 0.1 percent point lower than the year before and amounted to 48.4% (country 60.2%). In accordance with the assumptions of population projection, an increase of number of inhabitants of the Małopolska region will occur until 2025, whilst the speed of this increase will continue to slow down. It is estimated that from 2025 onwards the population will be decreasing.2 As visible however in the research carried out by the Institute of Countryside and Agriculture Development PAN, the dynamics in the context of number of persons is rather average, which constitutes a significant challenge for the region, all the more in case of rural areas, where density of population is relatively lower and more and more noticeable outflow of young people has been visible.

1 StannyM.,2013,PrzestrzennezróżnicowanierozwojuobszarówwiejskichwPolsce,IRWiRPAN,Warszawa.

2 Stan i ruch naturalny ludności w województwie małopolskim w 2016 r., Urząd Statystyczny w Krakowie, rok 2017

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Source: Monika Stanny, Łukasz Komorowski, Obszary wiejskie strukturalnie zróżnicowane. Charakterystyka i specyfika obszarów wiejskich woj. małopolskiego na tle kraju, z uwzględnieniem zróżnicowania wewnętrznego regionu, 2017 (w oparciu o dane z Monitoringu Rozwoju Obszarów Wiejskich). In the context of the analyses carried out concerning rural areas, it is rather important to refer to the outcomes of analyses concerning rural areas with regards to Poland. According to the data in Monitoring of Development of Rural Areas3, which specifies the types of rural areas according to the development components, in the region of Małopolska there are three dominating types of areas.

3 Monitoring of Development of Rural Areas is a large research project. Period of realization: 2012-2104 I stage, 2014-2016 II stage, 2016-2018 III stage. The financing and ordering institution: EFRWP Foundation (European Fund for Development of Polish Countryside), Project Manager, Prof Monika Stanny, PhD. IRWiR PAN, Main Contractor: Prof Andrzej Rosner, PhD. Contractors: Edyta Kozdroń Msc., Łukasz Komorowski Msc., dr Patrycjusz Zarębski. http://www.irwirpan.waw.pl/538/badania/monitoring-rozwoju-obszarow-wiejskich

http://www.irwirpan.waw.pl/538/badania/monitoring-rozwoju-obszarow-wiejskich

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Typology of rural areas-Spatial distribution of types of rural areas, according to the structure of development components Source: Monitoring of Development of Rural Areas (MDRA). Stage I, 2014 (Forum of Development Initiatives)

Type 3 multi-profitable expanded agriculture is characteristic for eastern and central Poland (areas of former Russian partition), which encompass the areas of traditional family farming, whilst differing among others with location in terms of cities of average size-mainly northern and eastern part of Małopolska.

Type 4 multi-profitable fragmented agriculture is an area of Małopolska and Podkarpacie, thus southern-eastern part of the country (former Galicia) with communes of fragmented agricultural structure but with very large rural towns-mainly the southern part and part of communes in the east of Małopolska.

Type 6 urbanized communes, where the agricultural function is reduced, include above all the suburban areas, that is the closest, first ring (spatial "stretching” of towns) or further located communes, but remaining in the impact zone of cities-mainly KOM area from the southern and western side and the subregion of Western Małopolska

Percentage share of communes according to the types of structure of development in individual administrative regions Source: Monitoring of development of rural areas (MDRA) Stage II, 2016

Nature of Małopolska communes, their resources and potential are reflected in the level of social-economic development which is presented by the below drawings.

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Level of social-economic development according to MDRA 2016 Source: MDRA Stage I (2014) and II (2016)

Year 2014 Year 2016

Southern and north-eastern part of Małopolska is characterized by significant challenges, since only the KOM area and the western part of Małopolska are characterized by large economic competitiveness. This correlates with the type of communes which occur there (type 6)-urbanized communes where the agricultural function is reduced, above all the suburban areas, that is the Kraków Metropolitan Area (KOM), the closest, first ring of spatial “stretching” of Kraków or communes located further away, but remaining in the zone of its impact (in the west this concerns also the impact of the Silesian conurbation).

Bearing in mind the changes in the position of communes on a scale of level of social-economic development (2014 to 2016), the situation of Małopolska in the context of rural areas also requires detailed attention. Changes of position of communes on a scale of social-economic development Source: MDRA, 2016, Stage II

A significant factor for the analyses of rural areas in the context of development of entrepreneurship and innovation is the so called Synthetic measure of disagrarisation of local economy.

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Disagrarisation is understood as an increase of importance of non-agricultural sources of living for the inhabitants of rural areas, thus abandoning the domination of agricultural function within economic structure. Two factors are decisive with regards to the spatial diversification of a degree of disagrarisation of local economic structures: Location towards the large or average size city And historical factor related to the period of partitions.

Synthetic measure of disagrarisation of local economy Source: MDRA, 2016, P. 86

The above presented data concerning the level of social-economic development are correlated with a synthetic measure of disagrarisation of local economy. Many communes in the region have an average, or even low class in the scope of disagrarisation measure (especially in the eastern part of the region), and in the north-eastern part of Małopolska it is even very low. It is also indicated by: negative result in terms of a change in the scope of level of disagrarisation of Małopolska communes for the years 2014-2016, the fact that out of 168 verified communes, 52 mark the result below the average.

“Mobile” and “non-mobile” communes and the promotion indicator in terms of changes of the level of disagrarisation of local economy by regions Source: MDRA, 2016, p. 88

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At the same time, the analyses included in the diagnosis of the Spatial Management Plan for the Małopolska Region, approved in March of 2018 indicated very similar aspects: In the spatial perspective the Małopolska region shows a rather significant diversification in terms of the situation on labour market and possession of social infrastructure objects. A division into metropolitan area of Kraków and the north-western part of the Małopolska region is clear- showing the largest growth dynamics of social and economic development as well as the south-eastern and eastern part of the region (excluding Tarnów and Nowy Sącz) characterized by low development tempo. “Bearing in mind the values of GDP both in current prices, per capita, as well as a change in GDP, an increase in disproportion of development between Kraków and the remaining areas of the region was noted, especially with regards to the sub-region of Nowy Targ. The areas developing the fastest include: Kraków and the Kraków subregion, thus the area of direct impact of the city of Kraków”. Policy framework There are no regional policies in Malopolska aimed specifically at improving research and innovation

in enterprises located in rural areas. The policy framework for this issue is indirectly shaped by policies of general interest like: Malopolska Region Development Strategy for 2011-2020 and its strategic programs, Strategic Programme Regional Innovation Strategy for the Malopolska Region for 2014-2020, Strategic programme for Rural Areas. Strategic Programme Regional Innovation Strategy for the Malopolska Region for 2014-2020 is a strategic plan to "Malopolska Region Development Strategy for 2011-2020"in the field of innovative economy. The main objective of the Strategy is to increase the competitiveness and innovation of Malopolska through the implementation of a harmonious policy, focusing on improving the conditions for business, innovation and science, development of information society, stimulating the demand for innovation and strengthening ties of cooperation between science and economy, especially in the areas of regional specialization. The objective of priority 2 is to strengthen the propensity of companies to conduct business innovation by reducing the barriers and reducing the costs of innovation. The premise is also to achieve sustainable growth of private sector spending on research and development activities, and thus empowering companies in shaping of innovation policy and the development of the region. One of the basic statements of the new RIS is the conclusion, based on research, analysis and technological forecasts, about the smart specialisation areas of Malopolska regional innovation strategy: Life sciences; Sustainable energy; Information and communication technologies; Chemical industry; Manufacturing of metals and metal products as well as products made of mineral non-metallic materials; Electrical engineering and machine-building industry; Creative and leisure-related industries. An advantage for the programme would be to put a greater emphasis on the development of MicroSMEs in rural areas. In its current range not much attention is devoted to rural areas, despite the fact that Malopolska Region is in large part covered by rural areas. Strategic programme for Rural Areas aims at functional space management and economic development of rural areas. It focuses on two priorities: implementation of regulatory instruments and planning for integrating rural development and economic activation of rural areas. The main activities planned for implementation during the period of validity of the document are: Improving the management of rural areas, Sustainable management of water resources in rural areas, Support for specific areas of strategic directions of production and market development, Exploiting the potential of manufacturing and entrepreneurial skills of local communities, Strengthening the productive potential of agriculture foods,

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The economic use of the potential of agricultural and natural heritage in the Carpathians. Strategic programme for Rural Areas does not aim to stimulate or create the ecosystem propitious for innovation. Priority areas of support for agriculture in the Malopolska Region appointed in the program are justified by the perspective of short-term planning. In these kind of policies more attention should be paid to strengthening the existing strengths of agriculture than at the usually long-term and socially and economically expensive reconstruction.

Interaction between main regional players The mix of public institutions responsible directly for implementing country level innovation policy consists of several main types of organisations: Technology Parks, Technology Incubators, Technology and Knowledge Transfer Centers, Academic Business Incubators (pre-incubators) and Business Incubators. All of that types of institutions operate in Malopolska region, none of them specialises in innovation and technology transfer in rural areas. Below the review of main players of general interest are presented. Krakow Technology Park (KPT) – as one of 42 technology parks identified in Poland. Technology parks

are located in all 16 regions of the country and generally have at their disposal land for investment and rental space for rent, over half of them – including KPT in Krakow have in-house laboratories offering services and laboratory space for rent.

KPT is one of the most vivid technology parks in Poland, focuses on ITC, creative industries & smart city solutions. It offers technology incubator, living lab for smart city solutions and multilab for creative industry initiatives, seed fund for start-ups. Also it is a managing body for the special economic zone in Malopolska region.

Technology and/or Knowledge Transfer Centers - located at the universities and focusing on technology transfer, knowledge transfer, technology audits, including: Intelligent IT Systems Center (CISI/AGH), Center for Energy-efficient buildings (MCBE/PK), Biotechnology Center (MCB/UJ). All of them are located in big cities.

There are 12 clusters and cluster initiatives identified in Malopolska region now: Edutainment, Sustainable Infrastructure, Digital Entertainment, Water Cluster of Southern Poland, Smart Buildings, Life Science Kraków, MedCluster, Active Tourism, Tourism Cluster Beskid, Innovative Molding, IT in Construction, Printing Cluster of Malopolska. Nine of them are seated in Krakow, two in other large cities of Malopolska, only one outside cities, in the rural area of Chelmiec (initiative, not an operating cluster).4 Only few of them are really active, with the Life Science Cluster in Krakow and MedCluster in Tarnow as one of the leading ones.

In Malopolska Region there are no private local stakeholders operating specifically in innovation policies, however there are organizations providing wide range of tools supporting businessess. At the moment, they are not focused on innovation per se, but they have the potential to be such in the future.

Furthermore, there are no innovation coordination and management structures in Malopolska Region. This type of activity is partly related to the tasks of Department of Economy in the Marshal Office of the Malopolska region.

Structure of regional rural areas economy and employment In agriculture sector in Malopolska in 2016 were working 154 thous. people, it is much lower than in 2009 where it was 195 thous. (but more than two years before, when in 2014 it was only 145 thous.). It situates the region at 4th position in a country behind Mazowieckie (265 thous.), Lubelskie (185) and Wielkopolskie (181). At the same the number of employed in agriculture, forestry, hunting and fishing in Malopolska (working and employed in enterprises with numbers working up to 49 people) in 2016 was only 2 401. It situates the region at 14th position in a country (lower number of employees was only in Podlaskie and Swietokrzyskie) Comparing the situation of Molopolskie in this demension with leaders of ranking (Wielkopolskie, 10275 employed, or Zachodniopomorskie, 6193) it is visible that this part of the regional economy should be strengthened in Malopolskie, especially in order to create stronger firms connected with agriculture.

4 Updating the diagnosis of in-depth innovativeness of the Malopolska economy, 09.2016 (Report on Innovation diagnosis of

Malopolska region economy).

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Malopolskie and Podkarpackie are characterised by the strongest durability of the structure of the agricultural sector. According to report Rural Development Monitoring 2016 it confirms the high inertia of the structure of agriculture and without any political intervention nothing good changes will happened. Malopolska is characterised by relatively slow deagrarisation of the local economy. and at the same time balancing the labour market and improving conditions housing, but low number of municipalities are able to create enough income. According to report Rural Development Monitoring 2016 only Podkarpackie is characterised by lower dynamic of deagrarisation than Malopolskie. Also the share of communities in Malopolskie characterised as above-average dynamics of development of socio-economic components with the exception of social activity and elements of infrastructure equipment is very low and higher only than in Podkarpackie. Innovation and enterprises The process of shaping the regional innovation ecosystem in Malopolska started in the ’90 with public

institutions – universities, regional development agency, technology park – on one hand and foreign-origin companies deciding to locate first high-tech and R&D branches in the city of Krakow and special economic zone on the other hand.

In 1998 Motorola Solutions opened its Design Center in Krakow and it was the first important larger scale investment bringing the spirit of innovation to the city. Two years later Delphi Automotive opened its R&D Technical Center in the vicinity of Krakow. Then came the others. At that time the focus was technology and the leaders of the process were technical university as source of professionals (Akademia Górniczo-Hutnicza) and the Governor’s Office & the City of Krakow as an investment promotion agencies. Links between firms as well as cross-sectoral public-private cooperation were rather incidental, neither systemic nor systematic, based mostly on individual efforts and strength of local leaders with vision of the future of the city and it’s region.

Anyway the local climate must have been good enough to let Comarch S.A., the first visible local spin-off company grow since 1993, enter the Warsaw Stock Exchange in 1999 and become a significant IT systems player in early 2000. That we may call the second stage – the rise and development of locally based innovative companies becoming global players. Still the development concerned mosty technological, IT companies.

In meantime a new public player showed up on the scene – due to administrative reform 16 new autonomous regional authorities were created in Poland including Malopolska Region. Since 1998 it has been responsible for the regional development strategy, as well as consequently, the subsequent regional innovation strategy (RIS).

In 2004 Poland gained access to EU structural funds and thanks to that source of financing an unprecedented development in regional infrastructure took place, creating completely new environment for business development. It covered general public infrastructure in the first run (roads, airport, telecommunication systems, management systems) and more sophisticated R&D infrastructures at universities (technical, agricultural, medical etc.) and the ITC and creative industries equipment at technology park (Krakowski Park Technologiczny, KPT) in the next step. At the same time the city of Krakow started to attract more and more foreign investment in outsourcing and IT businesses becoming one of it’s global (small-) centres.

First Regional Innovation Strategy for Malopolska Region covered the 2008-2013 period. It stated that the increase in firms’ innovativeness was to take place by means of a better use of the EU resources, including those directed to the development of funds investing in ventures of high risk level. Also the knowledge concerning available grants should have been enhanced among businesspeople. As indispensable were stated the quality improvement of the R&D potential and more active co-operation with business (AT that time providing only about 15 per cent resources for R&D units). Development of fair infrastructure and support for events promoting modern technologies and achievements in medicine were stated necessary, as well as the enhancement of alternative methods of education, including e-learning should be pursued.

According to the EU-wide methodology Regional Innovation Strategy (RIS) was to be a document created in a region in co-operation with representatives of educational institutions, regional authorities,

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organizations uniting entrepreneurs and business related institutions. The main task of the strategy was to specify the ways of increasing innovativeness in the region using financial assistance from the European Union. It should have focused on the SME sector competitiveness increase through creation of listing relations between science and business. Also it should help using the funds earmarked for R&D in the most efficient way and instruct how to enhance the regional infrastructure for innovativeness support.5

First 2008-2013 RIS for Malopolska fulfilled these assumptions only in a part. Strategy instruments were mostly focused on investment grants directed to universities and another academic public institutions, with a parallel but separate path of smaller scale grants for enterprises.

Next RIS - Regional Innovation Strategy for Malopolska Region for the years 2014-2020 is much more mature. It is a result of the work that aimed at updating the existing regional innovation strategy and adapting it to challenges, which not only addressed the new programming period, but also resulted from the RIS3 methodology and the related expectations in terms of smart specialisation. Upon completing the strategy updating, which was carried out with the involvement of representatives of various groups of the regional innovation system, the document was adopted by the Board of Malopolska Region in the early June 2014.

Today one might say that the innovation system in Malopolska starts to reshape into real innovation ecosystem – complex, self-sustaining and in a way self-perpetuating thanks to several domestic players based locally & running global business which are gate-openers for others. A CD Project company (The Witcher game) along with the Digital Dragons game festival and award, vivid creative life in the city, strong cultural institutions and well-ranked IT and creative studies being a good example of innovative ecosystem for the Krakow game dev community.

The question is – is it regional? An the answer for the moment would be – no. Rather one might say – it is metropolitan, strongly based and connected to the city of Krakow, it’s resources and potential. It barely flows over the limits of metropolitan area of the city of Krakow. Substantial part of the region is left aside the process, with few isolated small innovative companies developing in the countryside.

In the last, 2016 Regional Innovation Scoreboard6 report, Malopolska Region is classified as „Moderate Innovator”, which may be treated as a sign of average, moderate level of innovativeness of the region, similar to the majority of other regions in central and southern Europe. The bad sign is that according to the report the innovative performance of the region has decreased (see below).

In the report Europe’s regions have been classified into one of 4 groups: regional Innovation Leaders (36 regions), regional Strong Innovators (65 regions), regional Moderate Innovators (83 regions) and regional Modest Innovators (30 regions).In 2016 in Malopolska only 5,7% of industrial enterprises cooperated in innovation activities what was only slightly above the national average which was 5,5%. It was growth comparing to the previous year (when only 4,6% enterprises declared such type of cooperation) there is sharp decline comparing to 2005 when almost 26% of enterprises declared this activity (in Poland it was 24,5%).

In Malopolska was 96 new registered entities of the national economy per 10 thous. inhabitants (2016). It situated a region at 6th place in national ranking.

5 http://www.pi.gov.pl/eng/chapter_86528.asp 6 As stated in the report: RI Scoreboard provides a comparative assessment of innovation performance across 214 regions

of 22 EU Member States and Norway. In addition, Cyprus, Estonia, Latvia, Lithuania, Luxembourg and Malta are included at the country level, as the regional administrative level as such does not exist in these countries. Source: http://ec.europa.eu/DocsRoom/documents/18046

http://www.malopolska.pl/Lists/DocumentManager/RSI/Strategia%20innowacji/Regionalna%20Strategia%20Innowacji%20Wojew%C3%B3dztwa%20Ma%C5%82opolskiego%202014-2020.pdf

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According to latest data of the Statistical Office (2015) the share of innovative enterprises in the global

number of enterprises in the region scores 13,5% and is lower than country average of 14,5% (10 position between 16 regions). On the other hand the employment rate in R&D in the region is comparatively high – 1,44% in 2014 compared to 0,96% for the whole country (second position between 16 regions), most of it in public sector. In on of regional surveys 15,8% of enterprises declared having employees devoted only to R&D (mosty large companies). These numbers show both the gap, the potential for growth and the main

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structural challenge – which is the shift from public to private investment in R&D and the commercialization of R&D results.

Internal expenditures on R&D in Malopolska per employee in 2015 were estimated at 628 PLN. In the national ranking it situates a region at second place after Mazowieckie, where it was 1 300 PLN. There is stable growth of these kind of expenditures from 2002, up to now they increase by more than 4 times.

10,6 employed in R&D per 1000 economically active persons in 2015, Malopolska situated the region at the second place in Poland just after the Mazowieckie, where it was only slightly higher value 11,6.

According to latest research around 33% of enterprises located in the region use the support of external institutions in developing and/or implementing innovative solutions7.

Regional services to the diffusion of innovation among rural enterprises The new Regional Operational Programme (ROP) for the 2014-2020 period for Malopolska consists of

thirteen one-fund priority axes. Among them, the largest amounts are planned to be spent on innovation, energy policy and transport infrastructure. Tasks aimed at development of innovation are included in the priority axis 1. „Knowledge economy”, however, it aims to increase the innovativeness of the regional economy mainly through increased spending on research and development. Within this axis, Malopolska Region will support interventions that contribute to the strengthening of research, technological development and innovation in the areas of the smart specializations, resulting from the Regional Innovation Strategy of the Malopolska Region.

Rural Development Programme 2014-2020 is one of the instruments of implementation of the Strategy for sustainable development of rural areas, agriculture and fishing for the years 2014-2020. RDP 2014-2020 determines the strategy and the rules for how to use the funds of the European Agricultural Fund for Development of Rural Areas in order to facilitate the development of Polish agriculture and rural areas.

The main goal of RDP 2014-2020 is the improvement of competitiveness of Polish agriculture, sustainable management of natural resources, climate-oriented measures and sustainable territorial development of rural areas.

The Programme is to implement six priorities with regard to rural areas. One of them aims at: Facilitation of the transfer of knowledge and innovations in agriculture, forestry and rural areas. It is planned to lead three types of activities designed to achieve this objective: 1. Transfer of knowledge and information activities – implementation of the measure is to enable the

increase the base of knowledge and innovation in rural areas and strengthening connections between agriculture and forestry and research and innovation and also to promote lifelong learning in order to strengthen human potential in the agricultural and forestry sector.

2. Consulting services, services in the field of farm management and services for substitutions – essential for the development of agricultural sector is strengthening knowledge and innovation transfer mechanisms among others, through consulting services. A new agriculture advisory system will be designed to be a necessary link between academic centres and agricultural sector. Through individual consultation taking into account the specific needs of farmers, there will be provided practical and current knowledge conducive to the growth of innovation in rural enterprises. Steps will also be taken to develop the knowledge and skills of counselling services.

3. Cooperation – the purpose of this task is supporting the formation and functioning of partnerships associating farmers, research units, entrepreneurs, forest owners, non-governmental organizations, advisory entities which within operational groups for innovation will jointly develop new solutions to apply in practice. At the end activity of this type of partnerships will increase the interactive collaboration between entities operating in the agri-food sector and at the same time will strengthen the links between research and creating innovative activities and practical demand and occuring in the sector, leading to its development.

The necessity of incubation of innovative projects at rural areas in Malopolska is also connected with very low number of applications for co-financing of projects co-financed from EU funds for 2007-2013 (per

7 Updating the diagnosis of in-depth innovativeness of the Malopolska economy,, 09.2016 (Report on Innovation diagnosis of

Malopolska region economy).

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10,000 inhabitants) which according to Rural development monitoring report (2016) was the lowest in country.

New tools of service and innovation for companies One of the activities planned in the Rural Development Programme 2014-2020 is a support for local

development in the framework of LEADER conducted in methodology of community-led local development (CLLD). LEADER achieves its objectives through the implementation of local development strategies (LDS). LDS is a strategic document developed in relation to a coherent area, created in a partnership of three sectors. One of the action supported by the Programme is the development of entrepreneurship in rural areas covered by local development strategy through (among others) the forming or development of incubators for local processing (so called „kitchen incubators”) of agricultural products. It is a place for small processors of agricultural products, catering companies and farmers, who can prepare and process their products in a well-equipped and prepared for this purpose, in accordance with applicable regulations, areas. This allows small processors to meet all sanitary requirements without investing their own funds in the equipment and thus substantially reduce the manufacturing costs of their products.

One of the specific objectives in Rural Development Programme 2014-2020 is support for lifelong learning and vocational training in agriculture and forestry sectors. Within this aim it is planned to support training activities will be for farmers and forest owners. They will be tailored to the needs of customers and implemented through active forms favouring the acquisition of specific practical skills. Training activities organized within this framework will address issues related to: management, technology and organization of production on the farm, including organic production, work safety, marketing, accounting, insurance on the farm, use of financial instruments, environment and climate (including the use of renewable energy sources) using ICT, cooperatives, the establishment and operation of producer groups, shortening the food chain.

Innovation loan is a tool introduced by the Polish Agency for Enterprise Development. Micro, small and medium-sized enterprises which have a registered office in Poland are allowed to submit applications for a loan for the implementation of an innovative investment. Eligible costs which can be covered by the loan include: purchase and implementation of the outcome of research and development works; purchase of national and international licences, consisting in the acquirement of the rights to see

scientific and technical solutions and production know-how; purchase and mounting of machines and equipment; construction, extension or modernisation of buildings or installations which are necessary for the

implementation of an innovative solution; acquirement of consultancy services concerning investment planning, which refer in particular to:

drafting of a business plan and feasibility studies for the investment, environmental impact assessments of the investment, preparation of technical documentation for the investment;

acquirement of `consultancy services concerning the implementation of innovations or new technologies, which refer in particular to: preparation and implementation of the strategy for the development of the company basing on new technologies or innovative solutions, preparation and implementation of the technological strategy of the company, including a feasibility study for the planned technologies or innovative solutions, preparation and implementation of new technologies or innovative solutions.

In Malopolska in 2016 in financial service activities were functioning 1 931 entities. It situates this region at 5th position in national ranking.

Competences and activity of human capital The dynamics of the number of rural population in Malopolska is positive. Also forecasts shows that up to

2050 this population will growth by about 7% (it gives the second position in Poland after Pomorskie and Wielkopolskie).

At rural areas in Malopolska is localised the second highest number of people in production age among Polish regions (1095 thous. in 2016, while in Mazowieckie it was 1 188 thous). The relative share of people

http://en.parp.gov.pl/co-financing/innovation-loan

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in this category is in Malpolskie much higher (52%) than in Mazowieckie (where is only 36%). Higher percentage of people in production age living at rural areas is higher only in Podkarpackie, Swietokrzyskie and Lubelskie.

Malopolska is characterised by a very strong human capital potential measured by number of students. In 2016 there was over 169 thous. of students what gave the second place in Poland after the Mazowieckie (270 thous.). Because of the demographic reasons there could be observed an stable decline of number of students from 2009 when was a peak. What important Malopolska is the second largest center of education of students at technical universities (almost 43 thous. of such students in 2016 what was 15% of total number in the country).

The level of youth education analyzed on the basis of comparable examination results is very high Malopolska comparing to the rest of the country. For example, results in the mathematics and natural sciences (mathematics) in relation to the national average (the last available data from the Local Data Bank for the gymnasium examination in 2013) showed that Malopolska was ranked first in Poland ex equo with the Mazowieckie Voivodship with a level of over 106%.

In the region, there is a lack of employees in many professions, while the economic activity rate in rural areas in the first quarter of 2017 was only 56.1%. It places the Małopolskie voivodship only at the 9th position in the country (in Wielkopolskie, where the value of this indicator is the highest was 60.3%) and below the national average, which was 56.6%.

The average time to look for a job in rural areas in Malopolska in 2016 was 13.2 months and it was the third worst result in the country after the Podlasie Voivodship (14.1 months) and Wielkopolskie Voivodship (13.5 months). The average for the whole country was 11.3 months and the shortest were seeking work in the rural areas of the Mazowieckie Voivodeship (8.4 months).

The percentage of people in rural areas with higher education in 2016 was 16% in Malopolska, which places the region at the 6th position in the country (however, differences between individual regions are (outside the Śląskie Voivodship, where the ratio was 18.2%) below one percentage point The average value of the analyzed indicator for the whole country was 15.6%.

The share of active non-profit organizations in rural areas in relation to all organizations in the voivodship according to the latest available data (for 2014) amounted to 35.1%, it is above the national average (28.1%). It places the region on the 4th position in the country behind such provinces as Lubelskie (53.1%), Świętokrzyskie (40.8%), and Podkarpackie (40.3%).

The graph below presents in a synthetic way the potential of rural areas in Malopolska in the scope of competence and activity of human capital. The following aspects were taken into account: participation of active non-profit organizations in rural areas in relation to all organizations in the region, time of looking for a job, percentage of people with higher education and professional activity rate. For the 1st place in the ranking of 16 voivodships were awarded 16 points, for the occupation of 2 – 15 points, etc. The analysis of the presented data indicates the need to support the development of entrepreneurship, which will allow to raise the low rate of professional activity and shorten the time of job search.

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The potential of rural areas in Malopolska in the scope of competence and activity of human capital

Barriers for the development of innovation in rural areas of the Małopolska region identified during the

works carried out by the Group of stakeholders of RATIO project and the local workshops

A. The support for the development of innovation 1. Regional Innovation Strategy (RIS) as a strategic planning tool for innovations concentrates on entities

with a relatively large development potential and easy access to academic environments, considering however to a very small degree the specificity and the development possibilities of rural areas (this translates into the operational programme). Launching of the innovative potential in rural areas requires a different approach, which is not reflected by regional documents.

2. The assumption stemming from RIS that the innovation centre will be/is the Kraków metropolis without considering the territorial nature of innovation policy, which significantly impacts the areas outside KOM-the strategy does not differentiate the approach with regards to different areas/groups of recipients and their scale of action.

3. Poorly transparent system for building enterprise-school partnerships: Entrepreneurs have difficulties in identifying the centre/persons whom they are to contact

(significant barrier for many initiatives), Schools have difficulties in finding partners for the planned/realized researches. No connecting-contacting system, the so called single window to which the partners of innovative projects would be directed.

4. Weak innovation promotion level, as usable/new solutions (services and products) - for a change of way of thinking about innovations, as solutions in the scope of high/advanced technologies-dominating way of thinking: “Innovations-this does not concern us”. Innovations are presented as solutions solely in the scope of very sophisticated technological solutions. The promotion does not reach the inhabitants of rural areas, they think of it as: not concerning them.

5. Weak access for persons from rural areas to knowledge- persons who are weakly oriented do not know where to start and how to get support-information points are normally located in larger towns, remote to the inhabitants of villages-the funds are associated almost exclusively with high technological innovations “it's not for us”. Possibility of creating new products/services is not related to the village resources (material and non-material heritage)

6. Too weak knowledge on site regarding good practices, latest achievements and solutions applied in the EU and worldwide in certain industries, especially with regards to the specificity of rural areas

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4

6

8

10

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participation of activenon-profit organizations

time to look for a job

percentage of peoplewith higher education

professional activity rate

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and their resources, including agriculture 7. Still too difficult and complicated language in communication and in access to funds for

development and innovations (unclear messages, unreadable), constituting a significant development barrier for entrepreneurship and in consequence, innovation in rural areas.

8. Noticed inadequacy of tools for the assessment of innovations in companies (not only in rural areas) does not encourage them/ discourages them, frustrates and leads to non-adequate or too general applications very often (that is without considering the scale of micro, small and average company or companies with young seniority and strongly "seated” on the market).

9. Too much red tape with regards to procedures related to the support of innovative projects which often kills creativity and places too big impact on schematic actions

10. Relatively low level of risk acceptance for projects designated to contribute to the development of entrepreneurship and innovation (i.e. in case of SAG for local self-governments and highly innovative projects of entrepreneurs). Innovative projects are burdened with risk so the beneficiaries think that it needs to be included in the principles of funding projects.

11. Local self-governments rarely cooperate and use support towards their inhabitants, on the side of Enterprise Europe Network Centres, providing support services for innovations of enterprises and their international cooperation.

12. Lack of possibilities of support for development projects for companies with large potential, which wish to be included/realize a project under the Programme HORYZONT 2020 (cost-generating application/ giving other possibilities/both in the context of entities from rural areas and cities/

B. Entrepreneurship and labour market

13. Too weak development of entrepreneurship in rural areas-the entrepreneurship develops too slowly, thus it is difficult to expect innovations in economic sector.

14. Too weak access or lack of staff on labour market (specialists), including in the context of specific competencies/qualifications/especially in the context of towns distant from the cities-gaps in the scope of specialists understood as, for example, machine operators.

15. Low wages and weak job offers, which do not meet the expectations of modern inhabitants of rural areas. 16. Lack of possibility to hand over a well-operating enterprise (with perspectives)-succession in family

companies in rural areas, which hinders investments/pro-development actions (educated children do not want to come back-”they escaped”).

17. High costs of market research. 18. Labour migration of the young and talented-Krakow and entire Krakow Metropolitan Area and Silesia,

as attractive place for work and life, are an alternative for the young, who migrate from rural areas, settle down and start families (“sucking out” of the young of human capital, which is the largest development potential “Kraków drains out the rural areas”).

19. Lack of system of incentives for the young, especially well-educated, to come back to their place of residence in rural areas-young people, as a significant social capital and potential for innovation development.

20. Weak awareness among the inhabitants, in the context of value of education-increasing competencies and qualifications, whether a change of profession and openness to new challenges.

C. Education for employment

21. Too theoretically carried out process of vocational education (on universities and vocational schools)-does not prepare a graduate to be implemented or enter the market which in the effect "enforces” undertaking labour in large urban centres on the basis of work contract, even towards local demand for services in a given branch (i.e. In places away from the city, in rural areas).

22. Work organization of universities, still insufficiently directed towards cooperation with entrepreneurs, especially in the context of micro and small firms searching for new solutions.

23. Weak cooperation with entrepreneurs- education too remote from factual conditions of work position in a company.

24. Erratic education, especially at Vocational level.

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25. Not creative teaching personnel, often teachers do not encourage pupils to be creative, don't care for their modern and resembling urban education development.

26. Not innovative approach to education, both for children and adults. 27. Weak use of potential of the youth and gaps in infrastructure and the offer of improvement of their social

inclusion (gaps creating social exclusion, which does not facilitate decisions regarding remaining or returning to home towns and villages after leaving to study or to work).

28. Very ineffectively managed professional consulting in schools, based mainly on group consultations (discussions with a teacher). Relatively few meetings with entrepreneurs.

29. Weakly applied tools for assessment of own potential in the context of labour market and various professions-understood as individual professional counselling and the process of educating parents, which are to support their children in making the right choices.

30. Depreciated perception of vocational training/education in profession-it is not perceived as a significant value in the context of the labour market, enabling obtaining employment after completing education

31. Common education in vocational schools in professions not adequate for the local labour market-deficiencies on the labour market, especially in traditional professions (dying)/industries of some parts of Małopolska.

D. Local infrastructure-basis for entrepreneurship/ innovation development

32. Still identified gaps in infrastructure, including in particular access to broadband Internet, mobile network, electricity with an option of large transfer of energy for the conducted production, access roads (infrastructure is treated as basis for incubating and innovation development). Much worse (hindered) access to quality infrastructure for the conduct of economic activity (i.e. Roads, Internet) as well as human and financial resources makes the companies move to locations where their functioning/development could be easier (normally to larger cities or their outskirts).

33. Many towns still have large delays in basic infrastructure. In some of them there are too few media for innovative methods of management (i.e. sewage and water supply systems).

34. Too weak online availability as a significant development barrier, including cable network (backbone network) and network of wireless Internet (GSM networks).

35. Relatively weak state of transport availability, especially of the parts of Małopolska located far from Kraków (in particular this concerns the express road S7 from Lubnia to Nowy Targ and from Krakow to the border of the region with the Świętokrzyskie region as well as express roads from Brzesk to Nowy Sącz and from Kraków through Wadowice to Bielsko Biała)

E. Management-development policy-local and regional policy 36. Too few system actions in a situation when individual entrepreneurship “exceeds” the possibilities of the

surrounding environment and is conducted in a manner which does not fulfil the assumptions of balanced development.

37. Lack or low level of spatial planning in the context of rural areas, considering the aspects of economic growth-lack or weak protection of areas for investments in spatial management plans.

38. Lack of planning of what we wish to place under protection on rural areas, weak awareness of own protection of area potential, including landscape.

39. Too weak use of endogenous potential and resources, including non-material heritage of rural areas (traditions), especially those at distance from the metropolis, for defining new quality products and services.

40. Too weak use of specificity of subregional potential/functional areas’ potential for the development policy and search for innovative solutions.

41. Too weak knowledge on good practices and solutions applied in EU worldwide, in the scope of use of local resources (for self-governments which create the potential for innovation growth).

42. Defined model of approach to the development of innovation should not be the only approach in light of the various barriers for innovation development, needs and specificity of rural areas-lack of specific approach, model, solutions, and institutions supporting disagrarisation of rural areas is significant.

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43. System of information and innovation support in rural areas is not comprehensive enough and is distant from local entities. It is hard for an average interested party to reach the information and get familiar with a body to be contacted regarding their idea, its analysis in terms of innovation and the funding perspectives. Advisors are too far away, in larger cities.

44. The existing information points are not enough based on market sales solutions/offering services-actively oriented towards a client (contact with him), and not on gaining information when they come for it.

45. Local self-government is poorly specialized towards assistance/support/advisory services/information for the entrepreneurs (competence gap).

46. Lack of funding and time for developing innovation in self-government entities. 47. Frequently innovative solutions are related to short-term financing (project), communal centres

are insufficient for the continuation of interesting, novel solutions. 48. Development policy of many communal self-governments is often undertaken and realized

as “compensatory development” (i.e. Supplement the roads, sewage and water supply system, “improve quality of school networks), while there is a lack of factual development vision which would be reflected, among others, in the spatial management plan.

49. Difficulties in networking of entities (including public ones) - is difficult in the countryside due to mental barrier, which does not encourage quality, broad offer creation.

50. Administration in the countryside is used to often familiar/known solutions, closed for changes-no interest in rural innovations.

51. Weakly defined and used local potential in the countryside, weak promotion of products and services elaborated locally. Lack of good definition for the functioning of many rural areas.

52. Too few actions for creation of beneficial conditions for starting families and for their development-conditions for quality of life in light of a change of lifestyle in the countryside and large similarity to urban lifestyle.

53. Existing platforms of cooperation and exchange of experiences are not innovative, do not deal with the topic of innovation and focus too little attention on it.

54. Formalism of regional institutions which stands above innovative nature of local solutions. “Institutions which are to support innovations in rural areas practically kill the spirit of innovation through constant placement of innovative ideas into the frames of requirements”.

55. Requirements which assume only one type of solutions with regards to other categories of a problem (i.e. Exchange of boilers, when in some places financing of gas would be more effective because this is what the inhabitants would want). Provisions in grant rules which often kill the innovativeness through their rigid approach and narrow catalogue of criteria.

F. Social 56. The inhabitants who see the changes through a better infrastructure and not through ambitious

challenges and “soft” actions, being the long-term investment in people (short-distance look on development). It is difficult to encourage for innovative solutions, i.e. in the energy solutions, only economy rules.

57. Unprepared society for certain solutions, which require large engagement and do not show instant effects (i.e. Investments in human capital).

58. Weak dialogue with inhabitants concerning future development concepts and plants of spatial management based on these concepts

59. Too small support for the existing local leaders, or even lack of local leaders as initiators/promoters of the existing development initiatives

60. Lack of mechanisms stimulating creativity of inhabitants. Lacks concerning instruments for creativity support on local level.

61. Weak use of the potential of the retired persons (especially educated ones/ with unique knowledge/heritage knowledge) and lacks in infrastructure and offer which would improve social inclusion.

62. Smaller openness for changes and creating new products and services, in parts of region the

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inhabitants of which migrate after work to a small degree (i.e. USA, Germany, Austria). 63. Inhabitants of rural areas, including farmers, often can’t cooperate with each other in order to reach

a better joint effect (i.e. Conduct production, sales and promotion under one brand, reaching a synergy effect). Weak links, both business and non-business, creative.

64. Lack or too small degree of perception of cooperation as potential for development-association, cooperation, and producer groups are not treated as development potential.

65. Rural areas do not enforce new attitudes and other/modern thinking on the inhabitants, i.e. with regards to the environment or pro-ecological behaviours.

66. Narrow way of thinking about innovations-limiting them to technological solutions (innovations are created by people for improving quality of life of people).

67. Very behavioural way of thinking about work, the way of functioning of entities in the countryside. 68. Weakly conducted and used social dialogue. 69. Weak information on trends, models and tendencies which create development of innovative solutions.

SYNTETIC SUMMARY OF DIAGNOSIS-MAŁOPOLSKA IS CHARACTERIZED BY: Low percentage of enterprises cooperating in the scope of innovative activity. Relatively high expenditure on R&D per employee and non-adequately low level of company

innovativeness. Small number of applications for funding for projects co-funded from EU resources. Positive dynamics of rural population growth. High level of education of the youth confirmed by comparative exam results. Large number of students and persons in production age in rural areas. Lack of “attractive” labour positions, adequate to one's education, especially for persons with higher

education. Lack of employees in many professions and low indicator of economic activity in the countryside. Relatively long average time for job search in rural areas. Relatively slow disagrarisation of local economy. Not satisfactory institutional network in the scope of coordinating disagrarisation policy in rural areas and,

above all, too “remote” from the inhabitants information and advisory services. Too few tools and instruments for encouraging investors and development of entrepreneurship

and innovations in rural areas (adequate for the specificity and possibilities of the countryside). Low participation of the society characterized by over-average dynamics of growth in social-economic

dimension. Too low social activeness and cooperation of the inhabitants of rural areas and weak support towards

educating local leaders as motors for local development. Małopolska is a region with large interregional diversification of processes- the growing disproportions

in social-economic development (significantly faster tempo of development of towns located around the metropolis).

Unused potential of rural areas makes the development dynamics of Małopolska weaker. Better use of potential or rural areas-launching the innovative potential on rural areas requires a different

approach.

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PART 2:

What may the LOCAL SELF-

GOVERNMENT do for the development

of innovation?

Recommendations for local self-government as one that creates the potential for innovation development on rural areas.

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What may the LOCAL SELF-GOVERNMENT do for the development of innovation? The process of searching for proposals for solutions for innovation in rural areas is strongly correlated to the questions about the conditions for development of rural areas, including in the economic and social context. We started with a question: What conditions are necessary for the development of innovation in rural communes and urban-rural communes for the creation of innovation? „SMART” GMINA – what are its features? We created a summary of key factors which, in the context of thinking about rural areas, contribute to innovation/innovativeness development on rural areas, contributing to the building of ecosystem of innovation, necessary for their incubation and development. In the context of the proposed issues which contribute to the development of innovativeness in rural areas we worked on defining the indicators which might be significant in the context of planned for creation ranking of innovativeness of rural and urban-rural communes. The description of these factors which may probably be subsequently broadened, made more precise, may be found in the initial part of this chapter, constituting a set of opinions and recommendations on the side of the Małopolska Group of Stakeholders and the participants of 20 local workshops, realized in the area of entire Małopolska, with the support of local partners. In the course of discussions of the Małopolska Group of Stakeholders on the development of innovation in rural areas a conclusion appeared that to a large extent, due to lack of data, concerning rural areas, aggregated on the level of commune (including considering the specificity of the rural part, urban-rural communes) the creation of a ranking of innovative potential of the commune will be more adequate. The representatives of rural areas indicated that the communes with limited degree respond to the development of entrepreneurship and innovation and the introduced instruments in this scope. However, everyone jointly noted that the role of the commune cannot be under appreciated in the context of shaping the innovative potential. The commune creates conditions for innovation development through inhabitants and entrepreneurs, not only through the space and the infrastructure, but also through having a huge impact on the shape of the social capital. Therefore, in the second part of the chapter we present the assumptions for the ranking of innovative potential, as a sort of stimulants for development and impulses for undertaking actions targeted at development of innovation in rural areas.

I. WHAT FEATURES DOES THE INNOVATIVE/RURAL INNOVATIVE SOCIETY COMMUNE HAVE AT ITS DISPOSAL In the context of the accepted assumption indicating the key role of a commune in shaping the social capital, based on tests, analyses and conducted discussions, it is worth noting two fragments of PARP publication called “Dusk of innovative society. Trends for the coming years” which was published under editorship of Paulina Zdura-Lichota in 2013. All issues described by individual authors, concerning innovativeness at a certain point in time refer to social matters. A. Giza-Poleszczuk and R. Włoch write that innovations were of social nature which may be shaped as a postulate that if so far the awareness of this fact has been so small then the society must be reminded of its place in creating and acquiring innovation. On the other hand, E. Bendyk describes significant changes in business models which finally grant us an answer to the question sked at the beginning of this elaboration-why do we need innovations. The idea of modest innovations, outside its obvious practical dimension and business effect, speaks directly of an improvement of quality of life for very broad social groups by means of the sufficiently good innovations. Further on, in the context of underlining the role and importance of social capital in creating knowledge-based economy it is worth to cite the authors’ statement that: Innovations as social technology about perceiving innovativeness as an idea and insufficient social capital in Poland which distorts the social process of diffusion of innovation. 8

8 Świt innowacyjnego społeczeństwa. Trendy na najbliższe lata, red. Paulina Zdura-Lichota, Warszawa, PARP, 2013, s.16.

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Social capital means people. People with what they think, their competencies, the extent to which they are used to cooperating and their creative way of acting. And this, to a significant degree, is correlated to the investment in the qualitative zone of education, cultural offer, public space favouring meetings and integration. Therefore, within the entire elaboration of the Action Plan, the role of local self-government is underlined which creates space for living and services of the inhabitants, including for the families. Investment in the youth-children and teenagers, their way of thinking, skills, identity is of particular importance. “Immeasurability” of this action sometimes makes these aspects underappreciated in the process of social-economic development which is measured in years. Key factors which in the context of thinking about the rural areas facilitate the development of innovation/innovativeness in rural areas, have been grouped into the following aspects, significant for the conduct of development policy: A. Commune strategically-development and management aspect. B. Commune-entrepreneurship/innovation development. C. Space and offers of institutions of culture, inspiring and including. D. Communication and participation as stimuli of social innovations. E. Education as investment in social capital (educating innovators). These aspects have been described below according to individual components, bearing in mind, that the discussion in this scope will surely bring new associations since our understanding and awareness of the development processes changes. A. COMMUNE STRATEGICALLY-DEVELOPMENT AND MANAGEMENT ASPECT Key components for the development of innovative potential in the scope of communication and social participation: 1. Strategy of actions (development)-strategy of creating a change understood as “IDEA FOR MYSELF”

Commune: Has recognized and identified resources and potentials which might be used. Has a perfect diagnosis of problems which it constantly monitors. Applies benchmarking in planning and strategic management, for realistic and ambitious conduct

of development. Has recognized and identified targets which it wishes to reach. It means that “Idea for myself”- own “local

specialization”, the most significant direction for development for creating factual economic and social change (and not solely having a strategy of development).

It uses its strong sides and changes (specific for itself resources, niches in a given scope). It strives to remove its factual weak sides and threats-this concerns both the brand, social services and

cooperation with local environment. It has a defined and called discriminant, its brand with which promotion is strictly related. It protects and deliberately uses its resources, including material and non-material heritage. It has a study of conditions and directions of spatial management and a local spatial management plan,

defining the functions of a place, considering the awareness of potential, heritage and landscape which wish to be preserved.

It creatively uses the resources and potentials at its disposal for realization of basic targets in a new, better way.

It is aimed at quality of space, infrastructure, product or service (including in the process of their creation).

It fulfils the basic needs of inhabitants and solves their problems. It has the right perspective with regards to the commune's future-brave and planned actions-offering

real solutions, which will in the future have an impact on a significant improvement of life in a given area.

It introduces new, unique solutions for the inhabitants. It uses or generates means/resources/changes faster than other communes.

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In light of social-economic changes, it strives to manage development/change. It creates favourable local right.

2. Cooperation and courage as a style of acting-commune management. Commune: It actively joints into cooperation with other institutions and communes (i.e. in the context of region's

initiatives, institutions of labour market, cultural or social policy institutions), in order to realize larger projects.

It implements network management (building networks of cooperation)-both in the context of infrastructure and public services (i.e. through integrated areas).

It is not afraid to take up brave topics and unpopular decisions. It has a specific manner of acting (person responsible/procedure) with regards to a new offer of

cooperation in different scopes (i.e. New investment of an entrepreneur, proposal for cooperation-invitation to a new partner project, invitation for one of the commune's entities, NGO or proposal on the side of an informal group of inhabitants).

3. Human potential for undertaking new challenges in the commune, public office and entities: The commune that “learns” reflects the nature of work made by persons managing the commune's

development in public offices and in local institutions/organizations. It is characterized by high and developed competencies of officials and persons politically engaged,

since it uses current, available knowledge to realize its tasks and create development. Representatives of self-government obtain knowledge and information-participate in external

trainings. Self-government organizes also internal trainings and uses trips to establish external contacts.

Open to changes, new challenges and proactive approach characterizing persons engaged in the development and work towards the commune's benefit.

Creative in searching for innovative solutions and in solving the occurred problems. Open to new ideas, proposals, and technological news. Persons managing commune's matters are characterized by positive thinking and awareness of the

recipients. Commune representatives are characterized by approach of trust towards the inhabitants,

as a principle of acting. It is characterized by consistency and efficiency realized with a simultaneous dynamic reacting

to changes. It uses external means for development actions and the necessary infrastructure for better quality of

life of the inhabitants and for potential investors, including innovation-related. In the area of the commune “tools”/”solutions” for innovation development are applied consciously.

4. Infrastructure for communication, mobility and information society development: Inhabitants of the commune have access to broadband internet and mobile network. Entrepreneurs of the commune have access to electricity with the option of large energy transfer for

the services provided. Commune has a good communication availability, understood as: Good network of quality roads, including roads adjusted to transporting relatively high tonnage, in the

context of activities of the enterprises. Good network and frequency of internal and external connections, improving access to labour market

and public services (considering persons with special needs, i.e. disabled, parents with children). Different possibilities of public transport, including roads, railway, bike routes, access to highways,

express roads with the necessary support infrastructure (“park and ride” or bike parking). Integrated transport system and development of ecological transport. The commune has a comfortable (fast) communicational availability to metropolis.

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5. Development in the commune based on the principle of sustainable growth. Commune: Realizes its tasks while respecting the natural resources and heritage at disposal (material and non-

material), including landscape, which is worth protecting. Applies pro-ecology solutions in the infrastructure/space it manages (gives good, encouraging example

for the inhabitants-staying open to new innovative solutions and as the first one among a given local society it bears risks related to them).

Creates the possibilities and conditions for the inhabitants to undertake actions towards increasing the energy efficiency of local households and companies (i.e. Installation of photovoltaic installations or ecological boilers).

It takes care of the natural environment, actively implementing programmes related to its protection and undertaking educational activities among the inhabitants in this scope.

Implementing solutions targeted at promoting and developing economy in closed circuit. Conditions for active and healthy lifestyle are created.

6. Consciously conducted policy facilitating settling down of young inhabitants in the area, including in the scope of pro-family solutions. Commune: Applies a system of financial incentives or reliefs in communal fees (for refuse collection, sewage, water,

local taxes). Is ready to accept new inhabitants (plans this process, i.e. In the Urban Spatial Management Plan). Consciously shapes the space for meetings and activity together with an offer for older youth-as one

of the existing actions towards increasing attractiveness of place of residence among a group which in a relatively close perspective will be making decisions as to settling down and working.

Undertakes actions facilitating the functioning of a family, both in the financial and spatial context, through formulating an offer of communal institutions.

Initiates debates with the youth regarding the possibility of introducing innovative solutions, improving their future life in the countryside (already at the stage of creating solutions, not only at the stage of consultations).

Finances/co-finances contests/ vouchers/scholarships/grants for the young for innovations (from 18 years of age). These ought to concern the conditions and possibilities of support for ideas/innovative ventures, including cooperation with R&D entities and possibilities of realizing innovative actions.

Engages the youth in cooperation. Finances new, fresh ideas-organizes contests for innovative projects. Has and develops in the commune a system of care over babies, as an element enabling combining

professional and personal obligations. B. COMMUNE-DEVELOPMENT OF ENTREPRENEURSHIP/INNOVATION Key aspects for the development of innovative potential in the scope of entrepreneurship development: 1. Cooperation with economic environment and labour market institutions

Commune: Is engaged in cooperation with enterprises and associations of employers in the context

of creating/developing conditions for investment and entrepreneurs’ actions (not limiting itself only to running SAG, provided it exists in the commune).

Undertakes and joins initiatives of institutions of the labour market and social policy, supporting entrepreneurs in creating workplaces, including on the basis of local resources- inhabitants’ entrepreneurship.

Initiates and joins in actions towards innovation in the scope of agriculture and/or agri-food processing, and/or local production and/or development of leisure time industry, based on local resources being a key potential for a given areas.

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2. Initiating actions and development of activity towards development of entrepreneurship and innovation. Commune: Assigned and prepared conceptually in the group of its employees a person who is in charge of contacts

with entrepreneurs and who is able to grant information about the possibilities of support in development from RDP and ROP, including passing on specific telephone numbers to institutions which will be able to provide more detailed information.

Applies tools supporting entrepreneurship among the youth, who in the future may wish to create new attractive workplace in the area of the commune, i.e. through: Activity of entrepreneurship incubators; Creating co-working zones (including hubs, thematic zones, supporting the development of a given

branch, i.e. furniture design, design based on local patterns); Assistance programmes based on public aid and de minimis aid, supporting young entrepreneurs.

Has active inhabitants who create within commune area, including at the initiative and with participation of the commune, social economy entities. What is important, they facilitate professional activation and entrepreneurship of groups at threat of social exclusion, including the youth. At the same time, they create adequate and needed services/goods for servicing the local society. As a model Małopolska example, it is worth to mention the Social Cooperative “OPOKA” where workplaces for the sick are created, including a moderate and large disability-30 persons are employed by it (data from March 2018). The Cooperative thus operates solely to gain profit-it runs, among others, at the order of the Social Aid Centre, a feeding programme for approx. 70 poor inhabitants). Activity and support of the commune for the cooperative is expressed, among others, by: Use free of charge of communal building for the operations of the cooperative, long-term (minimum 10

years), Ordering services of the cooperative, including the system of social assistance.

It creates or develops economic zone, adequate for the specificity and territorial possibilities. It introduces tax benefits for the youth and/or new companies (which start economic activity for the first

time or which have been in operations for the first time no longer than for a year-in line with a definition of ZUS), in the scope of property tax.

Makes available to new companies (which start economic activity for the first time or which have been in operations for the first time no longer than for a year-in line with a definition of ZUS), premises for commencing business activity at preferential rates which will be increased in subsequent years. Premises may be made available by way of contests of offers, which would assume preferential rates of rent, i.e. For 3 years, including: In the first year of rental at the level of 1 PLN per sqm; In the second year of rental-40% of rate offered by the entrepreneur in the contest; In the third year-70% of this rate offered by the entrepreneur in the contest. 100% of the offered rate will be paid by the lessee as late as after 36 months of rental. The available premises may serve the function of an office, place of service provision or warehouse, thus a production hall. As a model example and a reference point one may indicate a programme initiated by the City of Gdańsk “Premises for a start-up for 1 PLN”9.

C. SPACE AND OFFER OF CULTURAL INSTITUTION, INSPIRING AND INCLUDING The key components for the development of innovation potential in the scope of space and offer of an institution of culture: 1. Space encouraging participation in culture, meetings and integration of inhabitants

Commune: Strives to introduce changes for improvement of life quality of the inhabitants, regardless of their age

(considering the needs of various groups of inhabitants).

9 Anna Dobrowolska, Lokal na dobry start za złotówkę!, http://www.gdansk.pl/urzad-miejski/Lokal-na-dobry-start-za-zlotowke,a,60880, 03.04.2018.

http://www.gdansk.pl/urzad-miejski/Lokal-na-dobry-start-za-zlotowke,a,60880

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Ensures the best possible access for the inhabitants to places and offers, including through verification and change in the network of social services provided by cultural institutions (i.e. culture centres, GOK, day rooms): In the context of entire commune and availability on account of distance, Considering availability for particular groups of inhabitants (children, families with children, seniors), With reference to persons with special needs (the disabled, parents with a small child in a pushchair).

Ensures that the infrastructure is adjusted to the needs of the inhabitants/various groups of recipients: Consciously shapes the space for meetings and activeness including an offer for the older

youth-as one of the significant actions towards increasing attractiveness of the place of residence-building positive relations, references and identity, among the group of persons who in the perspective of several years may set up families, with a potential of a new professional activity/entrepreneurship.

Shapes the spaces and the offer for families with children, as a significant group in the social structure and an element of pro-family policy.

Directs and develops places for meetings and the offer for seniors, as an increasing group in the region, with a large social capital potential to be managed and used for the benefit of the commune.

2. Attractive for the inhabitants offer (not only cultural), inspiring and activating, including: The needs of various groups of recipients: children and families with children, the youth (including also

the older youth), adults-including seniors. Common events for all or some groups of recipients, as well as didactic activities for individual groups of

recipients (i.e. realized in a given month, quarterly, annually). Activities in the scope of entrepreneurship, assuming the creation of simulations of a company operations

(from idea to realization), if possible with the use of IT tools, for the youth between the age of 16-18 in each year for the period of project duration.

D. COMMUNICATION AND PARTICIPATION, AS A STIMULANT OF SOCIAL INNOVATIONS Key components for the development of innovative potential in the scope of communication and social participation: 1. “Listening” to the voice of inhabitants, as a foundation for participation

Commune: Is perceived as open for the inhabitants-is characterized by good communication with the inhabitants

and the potential investors. Includes the inhabitants in the process of planning and methods of realization of ventures in the

commune (including testing of needs), considering the forms which encourage social participation at various stages: Planning threats for a given solution/investment/venture; Consulting the assumptions of the elaborated concept/proposal/venture; Realizing a given solutions/investment/venture.

Encourages the inhabitants to undertake novel ventures and introduce new formulas of realization to the existing actions, both in communal entities and among the inhabitants.

2. Actions towards integration of inhabitants and shaping of local identity. Commune: Supports local society in protecting non-material heritage, including cultivating traditions, customs and

local crafts (important aspect of local identity-especially in the context of choosing the way of life). Is efficient, motivating and encouraging, what is critical: is able to engage and organize local society in

mutual actions towards the development of a commune. initiates and organizes ventures, based on resources, customs and local identity, integrates the

inhabitants (i.e. multiple generations meetings) Cultivates its local traditions (appreciates, enlivens, promotes).

Has a supporting self-government with regards to the initiatives and activeness of inhabitants and entrepreneurs (activity of inhabitants is not treated as a competition).

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3. Inclusion of social community into matters of the commune and engaging in cooperation/joint actions of entities from the non-governmental sector, including non-formal groups. Commune: Has and appreciates social capital; inhabitants who are ready for actions in the commune (relatively large

number of social organizations per inhabitant when compared to the average for the region). Uses local opportunities with participation of the society. Is open to inhabitants; cooperates with non-governmental organizations, entrepreneurs

and other entities. Is pro-social (supports activities of inhabitants and funds them). Knows how to cooperate with local partners (social organizations, entrepreneurs) and other self-

governments or industry organizations. Devotes (increases) the budget for the support of realization of initiatives of non-governmental

organizations or non-formal groups, in a wider scope than sport and physical culture and development of OSP actions (i.e. culture and development of local heritage, social aid education).

Has actively operating and brave leaders, engaged in local matters-invests in development and strengthening.

Looks after social education and is open for changes, shaping and developing compassionate and culture-aware young leaders (leadership), as transmitters of the modern form of management and pro-social activity; encourages for social activity.

Uses local social capital: has a unique offer and is characterized by large level of social and local identity. Supports the inhabitants and their bottom-up initiatives through: Advisory support for precious initiatives (assistance in establishing contacts, indicating sources

of information); Assistance in gaining funding; Readiness to build infrastructure; readiness to limit administrative barriers; Assistance in promoting precious initiatives.

4. Promotion and openness for new challenges. Commune: Its image and promotion are concentrated on factual strong sides/potentials and strategic directions

of development (with regards to having a strategic plan-”idea for myself”); Within the promotional materials it encompasses, as a significant element of formulating messages,

the aspect of benefits for recipients, considering various groups of recipients and various targets for individual messages (for potential entrepreneurs, tourists, inhabitants etc.);

Has diverse and adjusted to various groups of recipients channels of communication with the inhabitants (including organizations from various sectors).

Considers with regards to various groups of recipients and channels of communication, the form and contents of the passed messages.

5. Inhabitants have the possibility to use electronic solutions while communicating with administration-they use e-services (electronic public office). Commune: Introduces new technologies in the Public Office. Uses technologies and progress for local development. Is available for the changing conditions (computerisation etc.). Gives the possibility of sorting out matters online.

E. EDUCATION, AS INVESTMENT IN SOCIAL CAPITAL (TO EDUCATED THE INNOVATORS) Key components for the development of innovative potential in the scope of education: 1. Network of schools and their qualitative offer. Commune (School): It has developed educational institutions and institutions supporting development and activeness of the

inhabitants.

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Looks after high level of education-adequately shaped directions of education and growth of children and the youth.

Considers the needs and possibilities of children with special educational needs. assures that modern education is combined with good values. Undertakes actions targeted at including the parents into cooperation with the school in realizing its

tasks. Teaches cooperation. Initiates actions enabling integration of parents as a significant tool in solving the growing number of

conflicts between the students and the parents and overcoming parenting difficulties. Ensures tools for the creative inhabitants to introduce ideas into life-care for good education based on

modern technologies while teaching creative thinking is important. Obtains external funds for realization of its own innovative actions, ideas in schools or local institutions.

2. Develops interests, passions and skills of pupils. Commune: Offers its pupils access to interesting offer of extra classes (at school) and extra classes ( in cultural

institutions), among others, in the scope of: programming; robotics; Model building; Developing creative thinking; Practical use of telecommunication tools; Classes in the field of mathematical-natural sciences: mathematics, biology, chemistry, physics.

ensures that the formula of the carried out classes is engaging, interesting with the use of creative methods of work, including methods of work on projects.

Ensures support for children and the youth, targeted at developing passions, interests and skills, through scholarships for achievements.

Initiates and cares for including pupils in interesting contests (among others, team contests), which are the pretext to deepening the knowledge and gaining interesting contacts.

Invests in the development of class workshops as tools for realization of interesting and adequate classes for perception of specific groups of children and the youth.

3. School which prepares for the choice of professional path (regarding entire network of communal schools). Commune (School): Through its network of schools it supports pupils in making educational choices through individualizing

educational advisory service. Joins in the promotion of vocational education-ensuring that pupils have contact with employers

and professional advisors, organizes employer visits. Educates and informs, not only the pupils making decisions concerning further steps of education, but

also their parents, promoting profession-based education. Enables pupils’ participation in the Festival of Professions. Includes promotion of deficit professions on the local labour market and dying professions or traditional

professions for a given area. Cooperates with poviat self-government towards vocational education in the context of employers’ needs

on the local labour market and creation of conditions for development of entrepreneurship (including setting up enterprises by the youth).

Has classes in entrepreneurship in its offer, if possible, with the use of IT tools and simulation games.

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II. MAŁOPOLSKA RANKING OF INNOVATIVE POTENTIAL OF THE RURAL AND URBAN-RURAL COMMUNES

In the framework of recommendations for the local policy, assumptions for the ranking of innovative potential of the rural and urban-rural communes was elaborated. Conceptual proposals, related to the shape of the ranking, were elaborated during four meetings of the Council of Stakeholders. Detailed suggestions concerning indicators, were consulted with the representatives of the Statistical Office in Kraków. One of the indicated results of the conducted works is the project of a survey addressed to the communes, the objective of which is to diagnose the innovative potential. Pilotage conduct of the ranking is possible in the second phase of the project. From the realization point of view, the entities responsible for implementing it may be: Małopolska Regional Development Observatory, acting under the Department of Regional Policy of the Marshal Office of the Małopolska Region, Statistical Office in Krakow and FSLD, Małopolska Institute of Territorial Self-government and Administration in Kraków. The main goal of realizing the ranking of innovative potential is above all to promote among the Małopolska communes the approach based on building and strengthening the ecosystem, targeted at developing innovations and creativity. Creating the assumptions for the ranking, the most significant areas were considered forming, in the opinion of the experts and practitioners, the local innovation ecosystem. In the course of a discussion and expert works, the greatest importance was assigned to the following zones: A. Spatial innovations, B. Support for civil society, C. Communication and digitalization, D. Cooperation and partnership, E. Support for business, F. School education, G. culture, H. ecology and environment protection, I. HR potential. At this stage, no assignment of potential weights and ranks was made for individual areas and their components. Conduct of this significant for the shape and meaning of the ranking operation has been planned for the second phase of the project. Despite the fact that the thematic scope of the ranking is very broad, solely these processes and phenomena which are characterized by a significant impact on the functioning of innovation ecosystem are assessed in certain areas. This is presented as follows: A. Spatial innovations

The main focus is placed on the issues concerning spatial management. The assessment is made regarding the revitalizing and modernization processes, including those concerning assigning a new function to the space as well as to public buildings. All kinds of innovations in spatial management will be promoted, while at the same time considering the requirements of environment protection and quality of life of the inhabitants. B. Support for civil society

Firstly, the assessment will be carried out for the actions realized in cooperation and towards local non-governmental organizations. Detailed attention will be placed on practices not applied so far and of innovative nature. These may still include, among others, implementation of civil budget, realization of cooperation on the basis of many years’ programme of cooperation with non-governmental organization, conduct of social research among the inhabitants, gathering of local social activists. The assessment will also cover the institutional nature of the support the reflection of which are, among others, the active senior councils, youth communal councils or councils of entrepreneurs. C. Communication and digitalization

In this important for innovation area, the assessment will be carried out in case of both issues concerning the degree of computerization of the commune's public office and the possibilities of using modern infrastructure. In the first case, such tasks will be diagnosed as, among others: online documentation flow,

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electronic mailbox, and electronic module of consultations with the inhabitants, text message system for informing the inhabitants, availability of the website in a version for mobile devices and for the disabled. Apart from this, the assessment will also concern the availability within the area of the commune of free hot-spots, e-kiosks and info stands. D. Cooperation, partnership

Bearing in mind, above all, the economic aspect of pro-innovative policy, the attention will be placed on the assessment of various types of cluster relations operating in the commune. Also, for this reason, the activeness in the area of social economy will be researched, with special consideration of social cooperatives. As a separate issue, also the scale and the quality of realized projects was introduced, both in cooperation with private and public partners from the country and from abroad. In this area, communes which cooperate with entities such as: technology transfer centres, entrepreneurship incubators, agricultural consulting centres, technological parks, colleges etc. will be promoted. E. Support for business

In this areas the attention is paid to the three most important aspects. The first of them is related to the institutional support and the activity in the area of commune of entities such as, among others, entrepreneurship incubators, economic zones, training-consulting centres, employer associations and scientific-research units. The second one concerns availability within the commune of training and consulting services for farmers and entrepreneurs. The third aspect concerns the granted support on the side of the public office of the commune for the actions related to, among others, promotion of local products, financial support, material or information support for local producers, application of reliefs for entrepreneurs, application of social clauses in public tenders. F. School education

A significant area of school education, bearing in mind the assumed targets of the ranking, was limited to several factors. Applying by the commune of the support system for the talented youth was considered critical. Of significant importance is also participation of teachers in various types of forms of increasing qualifications and professional competencies. Also the issues related to equipping schools in modern devices and didactic aids as well as creating the possibilities for use by pupils of secondary schools of various types of forms of cooperation with entrepreneurs will be tested. G. Culture

In this area, the focus is placed on equipment and modern offer of the cultural institutions (libraries, culture centres, day centres). In particular, this will concern, among others, free Internet in facilities, functionality of websites, and application of QR codes. The subject of analysis will also be the problem of digitalization and availability of resources and activeness of facilities in cooperation with associations, entrepreneurs and foreign units. H. Ecology and environment protection

The communes will be assessed in terms of the most important, in the option of the experts, environmental aspects. Both factors related to the planning of policy in this scope (having a Programme of Environment Protection and Low-Emission Economy Programme) as well as specific issues related to its realization will be taken into account. Significant role will be played by commune's activeness in the scope of promotion of Renewable Energy Sources and effective waste segregation. I. HR potential

The last area of innovation is related to the quality of personnel in the commune's public office. The assessment will also be carried out in terms of the problem of participation of the officials in various types and forms of professional improvement.

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PART 3:

What may the REGION do for the

development of innovation-

STRATEGICALLY

Strategic recommendations for the regional self-government in the scope of policy of development of rural areas in the region, in the context of innovations/

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Strategic recommendations for the regional self-government in the scope of policy of development of rural areas in the region, in the context of innovation Even though initially the interest in the works on the RATIO project in Małopolska concentrated on the Regional Strategy of Innovation of the Małopolska Region for the years 2014-2020, it was noted that RIS as a tool for strategic planning of innovation development is concentrated on entities with relatively large potential for development and an easy access to academic environments. It was noted to consider the specificity and development possibilities of rural areas to a small degree (this translates into the operational programme). Launching of innovative potential in rural areas requires a different approach. In the course of works on the Małopolska Action Plan, in the process of widely conducted analyses and participatory works (in total 10 meetings of Group of Stakeholders and 20 local meetings), many barriers were identified for the development of entrepreneurship and innovation in the countryside and in smaller towns, further to specifying many desired direction of actions on the side of the region. Hence, this part of Action Plan contains the postulates and recommendations which are the effect of a dialogue with stakeholders of development of innovation in rural areas and expert analyses which may be significant for the works on the new development strategy and the current realization of tasks in the region. It is thus an attempt to gather all the conclusions drawn from the course of works on the Action Plan. Not all of the postulates are possible to be realized in such a short perspective, which was planned for an implementation phase in the project INTERREG EUROPA (that is 2 years from the moment of completion of works on the plan). However, noticing the potential for creating development changes in the region, the below dedicated solutions or ones profiled in the context of rural areas are presented. Part of these proposals will be found in the recommendations-that is, fast track of action plant- as proposed for implementing as priority in the short perspective. These are the actions which are directly correlated with the development of entrepreneurship and stimulation of development of innovation (at the same time significant for the implementation phase of RATIO project for the years 2018-2020). It is worth to note finally several aspects which, even though being significant in the context of countryside development, have consciously not been widely described in this document, due to the spectrum of actions already undertaken by the region. They constitute milestones in the development of entrepreneurship and innovation:

Ensuring wider access to BROADBAND INTERNET in rural areas of Małopolska This is one of the fundamental aspects for the development of entrepreneurship and in consequence, innovations in rural areas, since internet is at present used in the framework of key tools for the functioning of a company or is almost necessary for the provision of services/conduct of work.

Development, diversification and improvement of coherence of integrated transport this action is critical for the development of enterprises, which operate in the area and for the inhabitants who commute to work (mobile personnel on the labour market as a significant element) and in the context of developing tourism.

Actions towards improving energy efficiency through further implementation of Renewable Energy Sources and thermal modernization of buildings. The inhabitants of rural areas indicate that actions targeted at increasing energy efficiency and thermal modernization of buildings are significant for the environment and the development of leisure time industries (it has a special meaning in the context of Małopolska, as tourist region).

Additionally, we wish to explain, that the aspect of development of agriculture and innovation in agriculture has also not been analysed in detail in the entire process and this document. However, the discussed Action Plan is in the broad terms designated to contribute to the development of entrepreneurship

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and innovation and it horizontally correlated more with such critical processes for Małopolska as deindustrialisation than development of agriculture. This does not mean, however, that development and professionalization of agriculture is not a significant process for the Małopolska countryside, especially when it comes to its northern areas.

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Priority I STRENGTHENING COMPETENCIES AND HUMAN CAPITAL KEY CHALLANGES:

Weakly used assessment tool for own potential in the context of labour market and various professions, understood as individual professional consulting and the process of educating the parents, who are to support the children in making the right choices. Mass education in vocational schools, in professions inadequate for the local labour market-deficit on the

labour market, especially in traditional professions (dying ones)/ industries in some parts of Małopolska. Increasingly stronger felt lack of competent personnel/ with qualifications searched by the entrepreneurs. Too theoretical process of vocational education ( in colleges and vocational schools)-does not prepare

graduates to enter the labour market, which in the effect “forces” them to take up jobs in larger urban centres, on the basis of labour contracts, regardless of local demand for services in their industry (i.e. in towns distant from the city in rural areas). Outflow of most precious intellectual capital-labour emigration of the youth and the talented. Kraków and the

entire Kraków Metropolitan Area and Silesia are attractive places for work and living, constituting an alternative for the youth, who migrate from rural areas, settle down and start families; the outflow of young people occurs from rural areas, which are the greatest development potential. The identified and defined by the stakeholders of innovation development in rural areas need for a definitely

greater creativity and actions for stopping the outflow of young people in rural areas (most invested social capital). Weak use of the potential of the youth and gaps in infrastructure and the offer, improving their social

inclusion (gaps causing social exclusion, which does not facilitate decisions on staying or coming back to one's home place after a leave for educational or work purposes). Adjusting qualifications of the young generation to the needs of local enterprises as a factor which stimulates

part of them to return. Too small support for the existing local leaders and almost no local leaders as initiators/promoters

of the existing development initiatives-lack of mechanisms stimulating creativeness of the inhabitants.

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ACTION A: LEADERSHIP AT LOCAL LEVEL

Type of actions: A.1. Educating and developing emphatic and culture-creative leaders as transmitters of modern form of

management and pro-social activity, based on cooperation and local activity. /Creating conditions for activeness of the young at the stage of secondary school and studies constitutes a significant but necessary investment in social capital. The young may learn activeness and engagement in their own (local) matters, solely through activeness at the stage when they have time, are brave and eager to take risks, engage keenly. This experience is substantial at the stage of taking later decisions, related to settling down and engaging professionally. What is important is for the proposed training cycles to end in realization of micro projects for the local society, elaborated in teams through the participants and implemented in the course of project duration (possible cooperation with organizations/local institutions. Local leaders constitute a significant potential for the development of rural societies, as well as for creation of ecosystem, necessary for the development of entrepreneurship and innovation. They are often called development driving force. Therefore, the support of active local leaders-persons acting towards local communities-and investing in their development is of great importance socially in the context of development perspectives. PROPOSED FORMS OF REALIZATION: 1. Inclusion in the programme of cooperation of the Małopolska Region with non-governmental

organization and other entities conducting public utility activity, targeted at development of leadership competencies of young persons at the stage of high school and studies (leadership)- entrusting/support for realization of the tasks in the form of open offer contests. Description: Inclusion for cooperation of NGOs and other entities conducting public utility activities and planning funds for projects of social organizations which may be supported/entrusted in the effect of realization of open offer contest and the selection of best offers. 2. Inclusion into the cooperation programme of the Małopolska Region with non-governmental

organizations and other entities conducting public utility activity, targeted at development of leadership competencies and professionalization of local leaders-persons acting towards local societies (leadership) - entrusting/support for realization of the tasks in the form of open offer contests.

Description: Inclusion into the cooperation non-governmental organizations and other entities conducting public utility activity and planning resources for projects of social organizations which may be entrusted/supported in the effect of realization of open contest of offers and the choice of best offers.

3. Realization of projects by regional self-government in potential cooperation with local partners. Description: Projects elaborated and implemented by the Małopolska Region towards the target group, with a possibility of realizing jointly with local partners. Projects may be funded from the region's budget and the external resources, as well as with participation of funds from local partners.

Proposed/sample projects: Project A.1.1: YOUNG LEADER ACADEMY Trainings in the scope of leadership for the youth (cycles of trainings), where young people will be prepared for undertaking local activities with regards to: Their identity and place in which they live; Conscious adjusting of their development path for their actions; Knowledge and tools for project realization (development ventures); Features and skills necessary in the work of a leader/motivator/coordinator, Practical realization of proposed by the training participants ideas/projects, in cooperation with the existing

local organizations or as non-formal groups (it is worth to consider the possibility of granting micro grants for the project-i.e. In the amount of PLN 500).

The venture is based on the assumption that activeness, engagement, actions may be learnt through active work in a group towards the local society (engagement in various types of charity organizations, interest groups, local projects).

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Project A.1.2: SCHOOL OF LEADERS Assigning teachers at high schools who would animate the work of the group of young people, interested in creating creative projects in rural areas. These groups might complete with one another in the framework of a contest for the most innovative project and several best teams ought to receive funds for their implementation. Organization of a kind of social hackathon is proposed once a year for this youth.

A.2. Optimizing the programme of development of key competencies in projects realized under the Regional

Operational Programme of the Małopolska Region for the years 2014-2020 /Review and optimizing the programme of development of key competencies in projects realized under the Regional Operational Programme of the Małopolska Region for the years 2014-2020, in particular Priority 9 development of daily support facilities and in Priority 10 projects in the scope of pre-school education, education in schools conducing general education. Directing educational projects at development of competencies, promoting innovative thinking, such as: sense of initiative and entrepreneurship, learning skills and social competencies. PROPOSED FORMS OF REALIZATION: 1. Rewarding projects which place special emphasis on development of competencies promoting

innovative thinking. Description: Rewarding projects which apply and develop pedagogical innovations while assuming development of innovative thinking in the learning effects.

2. Introduction of Action 10.1 ROP MR for 2014-2020, possibilities of realizing projects for a wider catalogue of key competencies. Description: Within the project types, expanding the catalogue of key competencies, covering not only the following competencies: Mathematical and basic scientific-technical competencies and IT competencies (group A). At the same time, in the context of recommendation from evaluation of the Małopolska Strategy for Innovation Development for the years 2007-2013, the need for larger impact on cultural conditions of innovation and education are emphasized. In this context introducing classes to the offer of schools and educational facilities which enable development of the remaining key competencies, which concern directly pro-active attitudes and openness to entrepreneurship and innovativeness, that is: Learning skills, social and civil competencies, sense of initiative and entrepreneurship as well as awareness and cultural expression (group B). Therefore, introducing preferences is proposed (access to granting additional points), for projects in the framework of the action in a manner which will combine the possibility of participation of pupils in classes developing key competencies from groups A and B, whilst the classes in the scope of development of key competencies from group B should not constitute less than 25% of the total number of offered hours of classes.

A.3. Incubating social innovations as stimulants of development of social capital

/Strengthening and developing social capital determines on one hand the development of innovation as well as conscious use by the society of innovations implemented in various areas of social and economic life. Social capital and innovations are two variables which impact one another. Adult education ought to shape the adults in such a way, so that, on one hand they supported the process of innovation incubation and/or incubating innovations, become authorities for the children in this scope, as well as were aware recipients of the innovations which increase the quality of life. For this purpose, non-contest based, non-formal education for adults is critical, which ought to develop key competencies, also for the adults such as: communicating in native language, communicating in foreign languages, mathematical and basic scientific-technical competencies, IT competencies, learning skills, social and civil competencies, sense of initiative and entrepreneurship, awareness and cultural expression. Development of key competencies impact the development of behaviours and attitudes desired while generating innovations, such as: growth of knowledge on the basis of various sources, critical analysis of information, cooperation, creative discussion, responsible decision making, critical thinking, active working and participating in social life-placing targets, forecasting and implementing changes, including all members of the local society to local projects, interdisciplinary thinking. Programmes of adult education ought to be based on modern themes, important from the perspective of modern problems, trends and changes which might strengthen competencies and above noted features such as: global education, ecological education, cultural education, new media and media education.

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PROPOSED FORMS OF REALIZATION: 1. Inclusion into the programme of cooperation of the Małopolska Region with non-governmental

organizations and other entities conducing public utility activity, targeted at development of key competencies of adults-entrusting/supporting realization of tasks in the formula of open offer contests. Description The contest of offers for realization of ordered public tasks in the area of projects for adults, non-professional education of adults, with reference to the indicated topics, such as: global education, ecological education, cultural education, media education with special consideration of didactic innovations in the proposed projects

2. Directing the Civil Budget of the Małopolska Region towards generating innovations Description Rewarding within the Civil Budget of the Małopolska Region innovative projects in the scope of non-professional adult education, directed towards teaching key competencies based on the desired topics: global education, ecological education, cultural education, and media education.

3. Development of the fund of own input for NGOs. Description Support for NGOs which realize projects co-funded in the non-professional areas of adult education, directed towards developing key competencies through financing own input in their projects.

4. Inclusion of innovation in the scope of educating adults in the area of non-professional education into the events of the Małopolska Region. Description Inclusion of events devoted to innovative projects, methods, non-professional practices of adult education into the programme of events of Małopolska Region, such as for instance: Festival of Innovations and other general promotional events.

A.4. Identification of the assumptions of competence model of social innovators.

/Identification of assumptions for the competence model of social innovators which ought to become a point of reference for projects of shaping the leaders of social innovations. This model should in a practical way identify competence features of social innovators in the area of knowledge, skills, and attitudes. It should also identify the tools of competence development of social innovators in the area of: tools of competence assessment, effects of learning, forms and educational methods. The competence model of social innovators should also differentiate the methods of learning and the development of competencies with regards to children and the youth and adults. The model should identify pedagogical innovations with regards to children and teenagers and didactic innovations with regards to adult education. PROPOSED FORMS OF REALIZATION: 1. Realization of the regional project in non-contest mode in the scope of defining the competence

model (in potential partner cooperation with key regional institutions in the area of social capital development). Description: The project of conceptual nature, which includes research works in the area of identifying the features of social innovations, development works in the area of competence model of social innovators, cooperation and working groups with the stakeholders in the region, elaborating the competence model and the plan of promoting the project outcomes in the region.

2. Realization of international project of exchange of good practices and identification of innovations in strategic partnership of the regional self-government, key regional institutions in the area of social capital and foreign partners. Description International partner project, based on exchange of good practices and conceptual works between partners in the area of identifying features of social innovation, competence model of social innovators.

Proposed/sample projects:

Project A.4.1 SOCIAL INNOVATOR-COMPETENCE MODEL The project of conceptual nature, which includes: Research works in the area of identification of features of social innovations, Development works in the area of competence model of social innovators,

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Cooperation and working groups with stakeholders in the region, Elaborating competence model, Elaborating the plan of promoting project outcomes in the region.

ACTION B: BUSINESS FOR THE YOUNG-THE YOUNG FOR INNOVATION

Type of actions: B.1. Identification and incubation of new ideas of young enterprising persons from rural areas, motivating

to experiment/set up local businesses. /Outflow of young, invested persons from rural areas is as a rule a phenomenon which cannot be stopped. However, it is important to create conditions/instruments which will constitute an incentive to remain of at least some of them for those, in whom the region invested for years (i.e. Through scholarships, or non-school classes), wanted to invest their effort of professional start locally. What is significant here is that today's reality enables access to outlets and customers even in distant places (i.e. Internet, emails or sale of services/goods via internet). Undoubtedly, for the Małopolska countryside this situation is relatively new and requires new instruments-solutions for the realization of public policies. At the same time, a critical value for the young and for local societies is building its future in the context of heritage both with regards to the place of residence and the family as well as the possibilities of gaining support (also in the context of resources-land, buildings or future support in educating children). This added value may in the future decide about competitiveness of provided services or the produced goods, since they may require less financial inputs in the phase of activity development (smaller need of crediting development, which increases the costs of activity). Combined with the reliefs introduced at the national level in payments for ZUS-exemption from payments for the first 6 months of conducting new economic entity (apart from the preferential payments for the subsequent 24 months) may constitute an additional element of incentive in the scope of entrepreneurship, especially one realized locally. These actions may be of great importance for the carried out and necessary processes of disagrarisation in the countryside. / PROPOSED FORMS OF REALIZATION: 1. Realization of contests for innovative solutions of the youth in high schools with potential for local

realization-entity activity in the commune/town from which he or she comes from. Description: The contest will constitute a tool for the promotion of entrepreneurship among the youth (education for entrepreneurship) and shaping of pro-business and innovation attitudes. The addressees of the contest are the youth from high schools in the area of Małopolska. The realization of the contest is optimal on the region scale (it is also possible to be realized in the poviat structure). The contest ought to provoke the young to create the concepts of new solutions, possible for realization as business ventures. Pupils who as school teams elaborate common business concepts may be engaged in the contest. The created business concepts ought to consider local conditions of the planned activity (commune, poviat), understood as potentials/resources/competitive advantages, with reference to the possibilities of providing services/ distributing products not only on the local market but also to the neighbouring markets, in line with the principle act locally-sell globally. One of the assumptions may be the relation with local or regional strategic documents (i.e. Smart specializations). Business plans may be created in categories compliant with the requirements of strategic documents (i.e. smart specializations stemming from the Regional Innovation Strategy of the Małopolska Region 2014-2020). Awards: apart from financial awards, these could be the so called development vouchers for trainings which prepare for activities on the market (i.e. In the scope of marketing, presentation, time management) or participation in a dedicated training cycle, the so called leadership.

2. Realization of contests for innovative solutions of students with potential for local realization. Description: The contest will become a tool for promotion of entrepreneurship among the youth and incubation of new business innovative ventures in the areas of communes/poviats which are submitted by the youth. The created business concepts ought to consider local conditions of the planned activity (commune, poviat)

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understood as potentials/resources/competitive advantages, with reference to the possibility of providing services/distributing products above all on the local market (clients, competition, means of sale on the local market). Upon assessment of the business plans the adequacy towards these assumptions should be highly evaluated. At the same time, the business plan may include the impact and the possibility of providing services not only on the local market, but also in neighbouring markets, in line with the concept of act locally-sell globally. The best business ideas in the area of Małopolska may obtain financial support (form of scholarship/grant) for the implementation of the given business idea. The height of award would correlated with the degree to which the local self-government wished to participate in the funded award. It is anticipated that bearing in mind the local benefits, including from strategic perspective, the award could be funded by the region (as the main organizer) or the local self-government (communes, poviats in which the economic activity would be established).

3. Introduction of preferences in the framework of the existing and projected repayable instruments-loans for realization of business ideas for the young entrepreneurs up to 26 years old. Description: Creation of the system of preferential loans for realization of business ideas for young entrepreneurs up to 26 years old, including laureates of the above described contests, who wish to implement their business ideas. The system of loans for "start” would assume better conditions, upon the assumed financial threshold (maximum amount) with regards to the remaining market offer. This is targeted at supporting young businesses and creating a certain development impulse-an instrument dedicated for the young initiatives with a potential for innovation development. A possibility of additional preferences is assumed for laureates of the above noted contests (as ideas supported by previous consulting/trainings). For most innovative ideas which reach the assumed effects, a consideration/implementation of partial redemption of repayment would be optimal.

Proposed/sample projects:

Project B.1.1 BUSINESS JUNIOR The contest for business ideas for pupils of high schools. Framework assumptions of the contest: The contest will constitute a tool for promotion of entrepreneurship among the youth (education

for entrepreneurship) and shaping the pro-business and innovative attitudes. The contest ought to encourage the youth to create concepts of new solutions possible for realization

as business ventures. Pupils who as school teams elaborate jointly the business concepts may participate in the contest. They ought to consider the local conditions of the planned activity (commune, poviat), understood as potentials/resources/competitive advantages with regards to the possibility of providing services/distribution of products not only on the local market, but also on the neighbouring markets, in line with the concept of act locally-sell globally. One of the assumptions may be the relation with local or regional strategic documents (i.e. Smart specializations).

The addressees of the contest are the youth from high schools within Małopolska. The realization of the contest is optimal on the region scale (it is also possible to be realized in the poviat

structure). Framework realization assumptions: One of the assumptions was the link with local or regional strategic documents-ideas might be created

in categories, in line with smart specializations, stemming from the Regional Innovation Strategy of the Małopolska Region for 2014-2020.

The criteria of assessment of business plans will use good practices and experiences of institutions participating in granting of financial support for the start of economic activity as well as ones supporting innovative ventures of entrepreneurs.

The contest may be realized in 2 states or, upon lower number of submitted business plans, it may be realized in a single stage and it may assume that: Teams are submitted for the contest-from each school a maximum 1 team of 3 members. The selected teams elaborate business plan according to a defined pattern. Contest participants present the assumptions of a business plan-functioning of their innovative company

which might operate in the place of their residence (commune). The presentation of the idea may be carried out in any form (i.e. Multimedia presentation, model).

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Business plans may be created in categories compliant with the requirements of strategic documents (i.e. smart specializations stemming from the Regional Innovation Strategy of the Małopolska Region 2014-2020).

Awards: apart from financial awards, these could be the so called development vouchers for trainings which prepare for activities on the market (i.e. in the scope of marketing, presentation, time management) or participation in a dedicated training cycle, the so called leadership.

Organizer: Business environment institution/proposal: FRDL MISTiA/ Project B.1.2 YOUNG MAŁOPOLSKA FOR BUSINESS The contest for best business concepts addressed to the students coming from Małopolska. Framework assumptions of the contest: The contest would assume creating individual or team business concepts, located in places from which the

students come (place of registering activity “my commune”. Creation of business concepts must include local conditions of the planned activity (commune, poviat),

understood as potentials/resources/competitive advantages, with reference to the possibility of provision of services/distribution of products, above all, on the local market (clients, competition, methods of sale on the local market). Upon assessment of the business plans the adequacy towards the assumptions ought to be highly evaluated.

At the same time, one may include in the business plan the impact and the possibility of providing services not only on the local market, but also in the neighbouring markets, according to the concept of act locally-sell globally. This may also be concentrated, i.e. on creating elements/components or provision of services for the purposes of other entities acting locally and importing them from distant location or even from abroad.

The contest is realized as an event of regional scope. The target group of the contest includes students coming from Małopolska (place of residence). In the context of targets of the action plan for the development of innovation in rural areas of Małopolska, it is

anticipated that there will be a possibility of taking decisions regarding excluding from the contest the area of the city of Kraków (member of a team might however come from the area of Kraków, but the activity ought to be located in the place of origin of another team member).

Framework realization assumptions: One of the assumptions may be the link with local or regional strategic documents-ideas might be created in

categories compliant with smart specialization stemming from the Regional Innovation Strategy of the Małopolska Region for the years 2014-2020.

The criteria for business plans will use good practices and experiences of institutions participating in granting financial support for the start of economic activity and supporting innovative ventures of entrepreneurs.

Contest would be realized in 2 stages: Stage 1 The contest would encompass the first stage in which business plans would be submitted according to

a specific pattern and then assessed, obtaining implementation recommendations. The assessment of a business plan in line with the accepted criteria would mean additionally the creation of

package of recommendations in the context of the submitted business plan (conceptual and marketing), which might constitute an important element in the context of potential implementation.

Awards for participants of the contest at this stage might be formed by the so called development vouchers for trainings which prepare for activities on the market (i.e. in the scope of marketing, presentation, time management) or participation in a dedicated training cycle, so called leadership.

Recommended/winning ideas qualify to participate in the second stage-contest laureates who wish to undertake implementation, post review of business plans, might obtain consulting support in order to maximize the implementation effects and, through recommendation of experienced experts, select optimal solutions for a given type of activity (i.e. Building a network of clients, marketing, e-marketing).

Stage 2 The best business ideas from the area of Małopolska might obtain financial support (form

of scholarship/grant) for implementing the business idea. The youth whose business plans have been created in the framework of the contest and are of implementing nature are invited to use further possible step-obtaining financial support for

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realization of their business idea (implementation). The obtaining of financial awards is related to undertaking an intention to implement the business idea (declaration of contest participants). At this stage the youth will have a chance to conduct corrections of their business plans (also in the context of recommendations at the earlier stage).

The youth who wish to implement the described assumptions might/should obtain consulting support-as shown by positive experiences of entrepreneurship development in rural areas (i.e. Kentucky Highlands Investment Corporation or Nebraska Community Foundation), the largest percentage of survival of new companies takes place in conditions of comprehensive management consultancy, accompanied by ensuring financial means designated for development.

The value of financial award for a given business idea would have a specific minimum pot, however, the maximum would depend on a degree in which the local self-government would wish to participate in the funded award. It is estimated that, bearing in mind local benefits, including the strategic perspective (a chance for the functioning of such venture locally and the potential for creation of new attractive workplaces), this award might be funded by: a. Regional self-government-Małopolska Region (main organizer of the contest). b. Commune self-government in which the economic activity would be set up. c. Poviat self-government in which the economic activity would be set up. Two variants of realization in the context of award are possible. The first one, in which the value of award for the young rom the area of a given commune might be defined at the stage of contest announcement (volume of award for a given commune will depend on whether a given commune and poviat participate in the funding, which may constitute an element of an incentive for the young and a positive social PR). The second one, in which a minimum value of the award is established and in the effect of the carried out call for applications, the self-governments may make a decision on jointing the contest realization, funding a give pot of funds for awards.

Promotion: For effective realization solely dissemination and promotion among the young inhabitants or rural areas of poviats and rural communes of Małopolska is assumed. Organizer: Proposal-Małopolska Agency of Regional Development/ Małopolskie Centre of Entrepreneurship. /An alternative for realization of the above formula of generating new business ideas (possible for realization simultaneously) is to invite young active and creative students, coming from outside Kraków to join the training-advisory cycle, in the effect of which business ideas possible for implementation would appear. This path is thought for a group of those students who are worth being provoked for self-creation of their ideas (and not through joining a large enterprise-in line with the opinion of the entrepreneurs that creative youth who "anchor” after studies at the stage of large corporation, will in almost no case decided to change the direction of own business). Stage I would assume submission of the young, creative persons out of which 3-4 person teams will be formed. The teams will participate in a cycle of trainings which is to prepare them to work on the assumed business plans. Then, during the workshops led i.e. By means of design-thinking method the young people will elaborate their own business plans (product/service for implementation). These ideas will be made more precise with a coach/consultant, selected for each team. Subsequently, the elaborated business plans will be assessed in accordance with the principles and approach described in stage 1 above. Stage II-similarly to the described above formula, however, above 2 team members the award/scholarship should be doubled.

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B.2. The support for creation of co-working space in rural areas, correlated with smart specializations of Małopolska as a promotion of entrepreneurship attitudes. /Creation of co-working space in the countryside as an increasingly more popular form of work among the persons who commence their professional activity. In the context of rural areas this might have a significance for the increase of their attractiveness on the labour market. More and more often the strong sides of places distant form city noise and traffic are appreciated which at the same time allow for realization of one's aspirations, using the same what is ensured by co-working zones in the city (a desk, computer, internet, training room or conference room or equipment in case of profiled zones and, more importantly, creative team). The solution may be adaptation of free facilities belonging to the commune or leasing of other objects for the purposes of newly established companies. This type of actions should not only encourage for creation of new companies thanks to minimizing the needs for financial input in the initial period, but also stimulate cooperation between entrepreneurs. Depending on the part of region and its specificity, creation of thematic space or hubs as initiatives targeted at common use of machines and devices by young entrepreneurs is possible. Dynamic growth of co-working zones in Kraków and the ongoing new investments in this scope constitute a significant information about culture and mentality of the youth, for whom the quality of life is critical, which is understood not only as quality of space in business but also as potential of interesting meetings in such zone. PROPOSED FORMS OF REALIZATION: 1. Realization of contest, enabling granting of subsidy for local self-governments, local groups of

actions or business environment institutions, allowing for the creation/availability and commencement of co-working space activity, combined with the training-consulting support for SME at an early stage of development. Description: Subsidies for local self-governments (or entities representing them-operators), local action groups or business environment institutions, which in the effect of the announced contest wish to create/make available the co-working space for the purposes of the inhabitants of rural communes or rural-urban communes. The projects would ensure creation and commencement of activity of co-working spaces, combined with training-consulting support. The created co-working zones will operate on the basis of a specific plan of use of the planned for realization infrastructure under the venture, including the strategy of service provision. The document should contain also a catalogue of offered services and direction of offer development, including also the assumed price policy (prices of rental of "desk” in such space with access to common infrastructure/devices ought to be higher after 2 years of operations, especially in case of thematic space/hubs (i.e. with infrastructure for production of advertisements, graphics, sound processing etc.). Point of reference for the planning of this type of activity might be the model example of the Irish https://www.ludgate.ie - West Cork. In the process of planning and assessment a special attention must be drawn to the target group, joined with potential idea for the created co-work, bearing in mind the local market of services, resources and potential. A key element is also the communication plan-promotion of the created co-working space, which will show its key advantages not only in the context of way of functioning or infrastructure but also a place for living for the entrepreneurs, who decide to conduct their activity away from the fast and crowded city. An extremely significant aspect of the planned co-working zone is the training-consulting offer. Care for its quality and relation to industry/industries, under which the entrepreneurs will function. These services are to give the possibility of factual pragmatic support for the entrepreneurs, which will translate into the functioning on the market. Thus, it is important in this respect for the zone organizers to maintain flexibility and react to factual development needs of the entrepreneurs who will function in the framework of zones. Preferences important for the promotion of enterprising attitudes in rural areas (possible for encompassing in the scale of points and/or the access criteria): Lack of co-working zone in the commune. The project assumes modernization, potentially joined with an expansion of the existing building. Communes characterized by the lowest level of entrepreneurship with reference to average level

in Małopolska. The commune and poviat in the territory of which a co-working zone is planned to operate will

undertake to include in the realization of the contest Young Małopolska for business (project described in the frames of type of action B.1), through joining in the funding of scholarship/grant which will enable implementation of the planned business plan-for participation of each of the levels of self-government

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additional points (not applicable for cities with poviat rights). Commune/poviat in the area of which the co-working zone will operate, will introduce within its offer

classes in the scope of entrepreneurship, assuming the creation of simulation of company operations (from idea to realization) if possible with the use of IT tools for the minimum of 10% of the youth at the age of 16-18 in each subsequent year of the period of project duration.

Within the communal programme of revitalization, the outflow of young people, the precious social capital, was defined as one of the significant social-economic problems and the creation of co-working zones was anticipated.

2. Realization of projects by regional self-government (in potential cooperation with local partners) in towns distant form Kraków by approx. 50 km and towns below 50 thousand inhabitants, targeted at creating specialist zones. Description: The realization of projects, placing emphasis on the realization of co-working specialist zones (including in the scope of high technologies) which might be located in towns distant from Kraków by approx. 50 km and towns below 50 thousand of inhabitants, targeted at creating specialist zones. Projects elaborated and implemented by the Małopolska Region towards the target group with the possibility of realization in cooperation with local partners. Projects may be financed form the regional budget and/or external sources as well as participation of funds from local partners. The assumptions for this type of ventures are analogue as in the contest formula-specified in point 1.

ACTION C: SHAPING OF HR RESOURCES FOR THE LABOUR MARKET

Type of actions: C.1. Coordination of actions in the scope of quality development of vocational education system, more

strongly correlated with the needs of the labour market. Changes dictated by the new act and the needs of the market require form all actors included in the process of vocational education very fast reaction. Therefore, there is a need for continuing actions on the side of regional self-government, targeted at modernization of vocational education (project Modernization of vocational education as a model regional solution). PROPOSED FORMS OF REALIZATION: 1. Conceptual support in the process of implementation of the assumptions for the reform

of vocational education-platform for discussion and cooperation, among others, of organs conducting vocational education, Office of Education, labour offices, employer chambers. Description: 1.1. The new law and the market needs, jointly with the possibilities of the self-governments (including

financial ones) require discussing and agreeing for the selection of optimal models of actions and fast and correct reactions-decisions of self-governments. Therefore continuing the works of the appointed steering committee on vocational education in Małopolska is critical. It should compose of, among others, bodies managing vocational schools, offices of education, labour offices, and employer chambers. Conclusions from joint work may constitute: Basis for qualitative change management-implementation of a new system of education, all the

more correlated with the need of labour market and education, System of recommendation for the legislator in the context of the need for settlements, changes in

the updated provisions-as a strong regional voice, not as an individual voice of one self-government (including in the scope of updating the teaching programmes).

1.2. The second significant element for coordination of vocational training is cooperation platform-cyclical meetings of industry councils participated by representatives of the managing organs and persons responsible for the activities of vocational education centres in which they function, for better exchange/transfer of knowledge, including those stemming from regional research or implementation of projects targeted at creating and realizing CKZ offers.

2. Regional actions targeted at strengthening correlation of test results, realized by the Labour Market and Education Observatory, including Professions Barometer, with decisions of authorities carrying out vocational schools.

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Description: A significant matter in the process of taking decisions concerning the introduction into the school offer of a profession or carrying out the recruitment for the existing professions in the offer, is consideration above all of the needs of the labour market. It is thus important to consider pragmatic conclusions from the analysis of Barometer of professions (especially when observing the multi-annual trends) and other reports, data and analyses. Among the activities in this scope one should include: Strengthening the use/references in the works of the Małopolska Employment Council, for the outcomes

of conducted by the region analyses and other significant data. Strengthening the awareness of organs deciding on data significance and application coming from

the Barometer of Professions and the study of fates of the graduates in the context of shaping the educational offer, employment and assessment of pedagogical staff, including managerial staff of schools and facilities of vocational education. Information for the managing authorities thanks to the analysis and perspective of results in the multiple-year perspective (and not annual) is of great importance in showing the occurring changes.

C.2. Actions towards ensuring the need of the labour market for adequate and well-educated employees (with practical skills). PROPOSED FORMS OF REALIZATION: 1. Realization of events and information-promotion campaigns, presenting education in the

profession as an attractive and generating employment. Description: Ensuring qualified staff in rural areas requires both reaching with information about the benefits and possibilities of finding work after vocational education for pupils and parents and an adequate adjustment of the educational path to individual youth predispositions. The elements of the campaign ought to be: Social education (parents and children) is related to the choice of profession-creation of ethos/values

of vocational education (having a profession adequate for one's predispositions). Regional information and education campaigns, including those operating with adequate tools and funds

for the inhabitants of rural areas-promotion of vocational education. Promotion and education for market significant professions, for which there is a demand (including

dying professions for which continuators must be educated)-for them to be perceived as future-bearing by pupils (impact also on the parents),

Dissemination and promotion of forecasts and labour market trends among local society-i.e. Barometer of professions and other data, stemming from the experience of labour market institution.

Organization of professional fairs as events promoting vocational education, during which the pupils and their parents will be able to get familiar with the specificity, conditions and benefits stemming from having a given profession.

2. Promotion and implementation of model vocational individualized consultations-helping the pupils and supporting their parents in making the right decisions as to further education, adequately to their interests and predispositions. Description Already at the stage of primary school it is necessary to ensure that pupils have access to vocational counsellors who will in an individualized manner verify their predispositions, interests and possibilities. This knowledge, correlated with the knowledge of the counsellor of the labour market and education (trends, possibilities), should constitute the basis for making decisions as to the selected profession (school). The promotion ought to include consulting and is key aspects/elements: Model of vocational consultation, engaging the school, the parents and the pupils. Vocational consulting for pupils and including within that process the parents-individualized/targeted,

which will allow for the factual choice of profession compliant with the predispositions/abilities of a pupil/child (supporting identification of strong sides and selection of profession related to them).

Ensuring contact with employers-businessmen, as an element of patterns-promoting entrepreneurship-meetings with business people at school (already at the stage of primary school).

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3. Adjusting infrastructure of professional education and subject workshops. Description: Not only cyclical update of the needed competencies and skills on the labour market, which translates into updating of teaching programmes, is significant for the effectiveness of the educational process. Workshops/machinery where pupils may train are key-as giving the possibility of shaping adequate skills (of course in combination with the knowledge of the class teachers). Bearing in mind that the key role in this scope is played by machinery/devices of the employer who will be teaching the young people in the framework of dual education, one cannot forget that they must be taught in the school workshops of elementary skills for the professional and become prepared for the contact with professional, offer very expensive equipment. Therefore, it is necessary under the operating schools/CKZ to equip the workshops with key devices in this scope. What is significant is: The system of grants for organs running the schools, including above all vocational schools,

the combination of preparatory trainings available for use. Wider use of pupil practices in the leading production plants, enabling familiarizing with the current

machinery. In addition, in the context of the need to adjust to the practical method of education, including what is important in the scope of mathematical-natural sciences and IT on which more and more modern professions are based, it is important to elaborate a multiple-year plan of modernization of subject workshops and equipping them.

4. Creation of base/information platform regarding the infrastructural rules of public and non-public institutions, enabling educating in specific professional compliant with the binding requirements. Description: The assumptions of the reform of dual education are very significant for vocational education. However, in case of many professions, in order to launch education it is important to prepare the pupils to traineeships/work for specific employer in order to minimize any risk of incorrect behaviours or damages in the scope of frequently very expensive infrastructure. In case of many professions the school has no possibility to ensure that pupils have contact with specific devices due to large costs and fast proceeding development changes. Thus, creation of database/information platform is proposed with infrastructural resources, public and non-public institutions (i.e. Technological parks, industrial zones, local action groups in the context of incubators, associations of employers or clusters). This base placed on one of the regional portals related to vocational education, updated at least once a year, will indicate data in the structure of availability within the poviats and the list with specific professions. It will enable cooperation of schools and database disposers and, in the effect, launching or qualitative educating in a given profession. It may also create information potential for organizing vocational visits.

C.3. Strengthening the system of professional improvement for labour market personnel.

Dynamically changing labour market forces both making changes of the qualifications held and their expansion. This is an effective tool of counter fighting unemployment and social exclusion and, above all, ensuring staff for economic entities operating on the market. PROPOSED FORMS OF REALIZATION: 1. Active participation in development and promotion of the system of confirming qualifications,

including development of descriptions issued outside the educational system and higher education system, which enables their confirmation based on the obtained competencies. Description: For fast reaction to the needs of the local labour market, a significant component is the newly created system of confirming the possessed skills and qualifications, obtained outside the education system and the higher education system, which facilitates their confirmation on the basis of the held competencies. Therefore, it is important for the region to join in the development and promotion of the system of confirmation of qualifications, among its stakeholders (entrepreneurs, persons with experience in a given profession/industry and without qualifications, schools and facilities of vocational education. It is worth to add that Integrated System of Qualifications (ZSK) as a set of coherent system solutions concerning qualifications granted outside the educational system and higher education system defies both full and partial qualifications. Among partial qualification one may find especially significant for the employers market qualifications-these include qualifications which have been included into the motion of

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interested institutions or firms as ones stemming from the needs of the market (i.e. Qualification “Mounting construction woodwork”).

2. Strengthening the role of vocational education centres (CKZ) as entities enabling vocational improvement for persons employed and those preparing to confirm qualifications. Description: Recently created centres of vocational education, oriented towards specific industries in which they are designated to assist in realizing practical profession teaching (in the parts of modules falling for realization at school). In addition, what is critical and optimizing, the use of modernized/created database of courses, enabling professional improvement and requalification for adults, in accordance with the needs of the local labour market.

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Priority II INTENSIFICATION OF DISAGRARISATION ACTIONS IN MAŁOPOLSKA KEY CHALLANGES: Too weak development of entrepreneurship in rural areas-the entrepreneurship develops too slowly, thus it is difficult

to expect innovations in economic sector. Specific model of approach to development of innovation should not be the only trend in light of the diverse barriers for

the development of innovation, needs and specificity of rural trends-lack of specific relationship, model solutions, institution, that would support disagrarisation of rural areas is significant.

System of information and innovation support in rural areas is not comprehensive enough and is distant from local entities. It is hard for an average interested party to reach the information and get familiar with a body to be contacted regarding their idea, its analysis in terms of innovation and the funding perspectives. Advisors are too far away, in larger cities.

Not sufficiently transparent system for building entrepreneurial-educational partnerships: Entrepreneurs find it difficult to identify the centre/persons with whom they may contact (significant barrier for many

initiatives), Schools have problems in finding partners for the planned/realized researches. Lack of connection system- contact, the so called “single window” to which partner of innovative projects are directed.

Weakly specialized local self-government in managing the assistance/support, consulting/information for enterprises (competence gap).

ACTION D: EFFECTIVE PROGRAMMING AND IMPLEMENTING DISAGRARISATION PROCESSES

Type of actions: D.1. New disagrarisation instruments of the Małopolska countryside towards development.

/Disagrarisation, understood as decreasing the economic meaning of agriculture and agricultural production in national economy is a significant challenge for the development of innovation in Małopolska countryside. Supports conduct of coherent actions targeted at developing entrepreneurship in the countryside which may lead to an increase of the number of innovations, especially in communes with weak and average quality of soil. It is worth noting that the specificity of entrepreneurship and innovation development in rural areas requires a different approach than in case of stimulating these processes in urbanized areas. It is important for the actions to be adjusted to the local specificity and assumed conditions of availability and mentality of rural societies (personal meetings/discussions-as a basic form of perception and overcoming the existing stereotypes and inadequate or insufficient models of actions, scepticism towards new innovative solutions). PROPOSED FORMS OF REALIZATION: 1. Appointing/developing regional institutions dealing with disagrarisation of the Małopolska

countryside. Description: Organization of one institution which would be focused on the issues of disagrarisation of the Małopolska countryside (i.e. Agency of Rural Innovation), is significant for incubating and developing entrepreneurship in the Małopolska countryside. There is a need of intensification of disagrarisation actions in Małopolska was strongly noticed and underlines in the report “Monitoring of Development of Rural Areas, elaborated on the basis of IRWiR PAN. Improvement of capacity for shaping disagrarisation processes requires activity of an entity, which will be responsible, among others, for: innovations or conduct of research in this area, Incubating enterprises in rural areas, developing and professionalizing the existing enterprises, Coordinating implementation actions in rural areas ought to be done by a Rural Innovation Agency

created for this purpose. 2. Improvement of access in rural areas to broker and consulting services in the scope of developing

innovative actions. Description: Postulated by the inhabitants of rural areas need for increasing access to information and consulting support, targeted at development of entrepreneurship concerns change of logic of service provision. At present consultant/manager of information point in majority of cases "waits” for clients. There is a need

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to change the manner of acting towards one where consultant/employee of information point reaches out with the information and consulting service to the client (good practice and reference point: actions of brokers in SPIN project and network of consulting in Ireland). There is a real and justifiable need of creating a network of services or coordinating actions of the already functioning institutions of business environment (including EEN), information points or other organizations/institutions, acting in this scope from public funds in such a way so as to actively reach with information and support the potential clients-actions on site. It is not the client/entrepreneur who should drive to the consultant but rather the consultant-wishing to maximize the effect-is to visit the client, offering him individualized, specific support (according to the possibilities and adequately to the stage or cooperation theme). This consulting ought to be locally provided-with engagement and towards: Persons wishing to set up economic activity-implement their idea for provision of services or production

(incubate). Persons/entities developing economic activity (being in the first stage of development)-in this case

consulting should assume mainly individual meetings with the entrepreneur in the context of dedicated actions/instruments for them.

Functioning longer on the market of entrepreneurs, in order to strengthen their competencies and improve their competitive position on the market, and consequently, increase the potential for creation of new workplaces and innovations.

Level of subregional cities seems to be strongly insufficient. It is key for the consultant who will act locally (on site), to have practical and not only theoretical possibilities of supporting a given client. It is not sufficient solely to present the offer but it is about the possibility of factual realization of service and support for client on site, in his environment. Thus, the sole passing of information about the forms of support (including realized by information points, concerning European funds or OWES, is highly insufficient-it will have a low real efficiency). Therefore consulting should concern not only the passing of information (for what? where? When?) but above all offer the possibility of support in the scope of specifying a potential scope/direction of actions of the enterprise (or organization or natural person). In case of more advanced actions/projects it may constitute a base material for making a specific application on funding more precise, or obtaining the necessary elements (i.e. Energy audit of the building). Bearing in mind large diversification of Małopolska (visible most generally in a division into subregions), elaboration of such variants of the offer which are justifiable, which will be adjusted to the specificity of the given region (i.e. poviat). Each time, through a field visit, the consultant should adequately adopt the offer in terms of needs, problems and expectations of given local societies, so that their willingness and energy are not lost, suggesting support which for various reasons will be unattractive and unnecessary. A good example is here the Małopolskie Standard of Educational-Training Services and the procedure of testing the needs of participants of training prior to their realization, in order to adjust the programme of training to a given training group. In the scope of adjusting/making the offer individualized, also testing of specificity of local economies may be necessary, carried out by a Statistical Office. It is also justifiable to support this with opinions of local associations of farmers, entrepreneurs or i.e. mayors who know the specificity of a given area. Individualized support means that the service cannot be as a rule provided in a group form. It's about its strongest local attachment. All procedures should be maximally simplified and possible for realization in the fastest possible time. The proposed support may be correlated with the actions of institutions acting towards disagrarisation of the Małopolska countryside or part of another structure of implementing EU sources. Venture inspired by good practice of Local Enterprise Office from the Irish region South West (Cork).

D.2. Improvement of access to knowledge and the existing instruments for innovation development.

Different nature of barriers available for development of innovation in relation to cities (especially Kraków), makes it necessary to reply to the strongly articulated by the inhabitants of rural areas need to “get them closer to” the development-related services as well as to knowledge and information. Organizing the system of information with possibilities of support for development of entrepreneurship and innovation is significant in the formula of “single window” from which one may get the perception and the knowledge on instruments and service networks/institutions, supporting development of entrepreneurship. Significant importance is to be placed on increasing availability of information on the possibilities of finding funds for the development or adequate business partners or scientific partners.

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PROPOSED FORMS OF REALIZATION: 1. Project realization by regional self-government (in cooperation with universities and institutions

included in the process of implementation of European funds), targeted at creating and servicing the portal, related to the information on the support of development of entrepreneurship and innovation with access to development services provided locally and related to building enterprise-training centre partnership (entrepreneur-scientist). Description: Analysis of problems indicates the necessity of elaborating and implementing by the Małopolska Voivodeship towards the target group with the possibility of realization in cooperation with local partners. The projects may be funded from the voivodeship fund and/or external resources, as well as with participation of funds from local partners. The assumptions for this type of ventures correspond to the contest formula. The project elaborated and implemented by the Małopolska Region towards the target group, with the possibility of realizing in cooperation with local partners. The project may be funded from the budget of the region or from external sources.

2. Information-promotional campaigns using tools adequate for the inhabitants, being the target group in rural areas. Description: Communicating about the funds and available sources for development of entrepreneurship requires simplifying the language and adjusting the forms and transmission channels for the needs, expectations and possibilities of individual groups of inhabitants of rural areas. One of the methods of acting may be organizing information meetings “closer” to the inhabitants of villages, i.e. At the occasion of their local events, or obtaining local leaders for promotion of events and offered instruments. Bearing in mind the social and civil changes, present domination of visual culture, a good solution seems to be furthermore the use of various types of movies, in particular inspiring case studies, presenting true stories where the inhabitants of Małopolska are the characters (including from rural areas), who have opened up for innovations and gained success. Also the right definition of the concept of innovation is very important. Many people associate this solely with new information and communication technologies, operating of a collage, large and respected enterprises, something that does not concern them, what is far away, outside their reach. The key is to “dispel” this term. It is about making innovation something less foreign and distant. There is thus a need of promotion and presentation of innovations, useful/new solutions (services and products) which improve quality of life-to change the manner of thinking about innovations, as solutions in the scope of high, advanced technologies, against the dominating way of thinking: “This does not concern us”. Innovative solutions concern also the countryside-we need to open up for them especially in terms of awareness.

Proposed/sample projects: Project D.2.1: MAŁOPOLSKA WINDOW OF KNOWLEGE AND POSSIBILITIES (paper clip)

Creating a website/portal which presents an offer of possible forms of support for development of entrepreneurship and innovation, related to the access to development services, provided locally and related to building partnerships on the enterprise-scientific centre level (entrepreneur-scientist). It will at the same time be the source of knowledge and space for establishing contacts (enterprise-school), search for partners for cooperation (by the school or SME). As shown by the so far practice, difficulties in the scope of mutual perception of partners constitute a significant barrier for the use of available support in the region, including the financial one (i.e. Vouchers for innovations) Key components: DEVELOPMENT FUNDS Window for development funds (innovation and entrepreneurship)-information about

support/regional/national instruments and other instruments under the control of the European Commission for the entrepreneurs, i.e. Horizon 2020 or COSME (window for information with the indication of necessary contact data).

Window for start-up funds-information on support for commencing economic activity or entity of social economy.

Window for seed capital instruments-information about the available seed capital funds/start-up capital fuds, as ones with significant importance for the development of small companies with large innovative potential (promotion and approximation of information on the existing instruments

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coordinated and adequately adjusted to the needs of recipients is important). KNOWLEDGE FOR DEVELOPMENT Window for knowledge-key information concerning innovations, including: good practices for individual

industries or industry related knowledge bases (related to the existing entities or publications)-i.e. According to smart specializations of the region. Operations of a platform may be related to the activity conducted already under SPIN project (as a new formula or its expansion), under which the representatives of the region try to adjust to build partnerships between entrepreneur and the school, granting support or directing towards the existing networks of support, i.e. Regional centres of Enterprise Europe Network.

Window for cooperation-database of contacts, connecting enterprises and schools, scientific institutes in the region (entrepreneur sends the scope to a given email address specified in the form, for which he searches for cooperation, in the effect the regional consultant on contact service (innovation broker) who receives the information is able to search not only for the adequate school but also for a specific scientist who may constitute a partner for cooperation.

Window for information and consultancy-comprehensive information on granting advice in the area of Małopolska, including divided into scope of consulting and its location, related to the possibility of establishing direct contact with a specific consultant.

Window for trainings-a place of available information, funded trainings for entrepreneurs (development vouchers) and for persons who are not entrepreneurs.

Contents of individual components (including verification of their validity/developing their scope) and functional set up ought to be consulted at the stage of architecture and functionality design of the side with the representatives of rural areas (organizations and entrepreneurs operating there). The party in the scope of support details may refer to the already existing parties various institutions which will exclude duplicating of the same information.

The project inspired by good practice of Local Enterprise Office from the Irish region of South West.

ACTION E: DEVELOPMENT AND STRENGTHENING KNOWLEDGE FOR INNOVATION IN THE REGION

Type of actions: E.1. Strengthening knowledge and competence of employees of self-governments in the scope of developing

entrepreneurship and innovation. Representatives of local self-government-employees of public offices of communes or poviats and local groups of actions are often the first and the only contact point for many inhabitants of rural communes, searching for the possibilities of realizing their development plans. Unfortunately, they are rarely prepared for such contacts and for granting a specific information or support. This constitutes a significant barrier for the development of entrepreneurship and innovation. Therefore assigning and training of a person who might be responsible in each commune or poviat for cooperation with interested parties in commencement or development of economic activity or in creation of innovations in other areas, responsible for the passing of first, key information, directing to a specific institution or person where possible will be to deepen the information and/or using development services, may constitute a significant element which stimulates the inhabitants of rural areas to use the existing solutions/instruments. Understanding the role of innovation in the local development and the knowledge of possible and valid forms of their support by local self-government employees or LGD will allow for a more effective use of the existing possibilities. PROPOSED FORMS OF REALIZATION: 1. Realization of projects by regional self-government (in cooperation with local partners) targeted at

increasing/update of knowledge of the personnel of commune and poviat public offices and LGD offices on the available possibilities of support for entrepreneurs and the rules of service/cooperation with entrepreneurs/investors. Description: In order to increase the level of innovation of enterprises in rural areas, simplifying information on the available offer of support is significant, while at the same time approximation of the existing financial instruments (returnable ad non-returnable) and development services, funded under ESF (trainings, consulting) to their recipients in rural areas). The cooperation in this scope between the communes

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and local groups of action as environments functioning the closest to the inhabitants is key. As it stems from the carried out analyses, the inhabitants of the countryside most often gain information/use the instruments they learn about during direct contact. At the same time, most frequently the first and only contact for many inhabitants are the employees of the already noted public offices of communes and poviats as well as LGD offices. The path and the information language/ distribution of data on the instruments ought to consider this specificity of rural areas. The task consists of removing the competence gap in local self-governments which at present prevents full use of their potential, as animators of entrepreneurship and innovation in rural areas. Projects elaborated and implemented by the Małopolska Region towards the target group, with a possibility of realizing jointly with local partners. Projects may be financed form the regional budget and/or external sources as well as participation of funds from local partners. The assumptions for this type of ventures correspond to the contest formula.

2. Creation of network of cooperation for economic growth (forum) of employees of public offices of communes and poviats. Description. Apart from a single time training for the employees, a permanent improvement and updating of their knowledge and skills is critical. A proposed solution is the creation of cooperation network of economic development in the form of a forum of employees of public offices of communes and poviats. The forum will be a unique space of integration for the environments of self-governments towards economic developments, constant exchange of knowledge, experiences and good practices, building partnerships and professional relations. The forum should operate in the form of cyclical meetings.

Proposed/sample projects: Project E.1.1.: NETWORK OF KNOWLEDGE-SELF-GOVERNMENT IN THE NETWORK FOR INNOVATION

In order to increase the level of innovation of enterprises from rural areas, a significant seems to be the increase of access to knowledge about the possibilities of support for development of enterprises and entrepreneurship of the inhabitants of Małopolska, including under the Regional Operational Programme for the Małopolska Region for the years 2014-2020, among others by: The existing financial non-returnable instruments (vouchers, research projects, improvement of energy

efficiency of companies); The existing returnable instruments (preferential loans-very significant presentation in a transparent way

both in the network and through directly transmitted knowledge) Necessary knowledge in the scope of innovation; Available development services, funded under RSF (training vouchers, consulting); Funds for commencement and development of economic activity. Realization of this assumption is possible through presenting a specific, dedicated information on the available offer of support to the countryside inhabitants. The cooperation with communes and local groups of actions as institutions which are the closest to the inhabitants is critical. As it stems from the analyses, the inhabitants of countryside most eagerly obtain information and use the instruments of support of which they learn during direct contact. At the same time, most frequently the first and only contact for many inhabitants are the employees of the indicated public offices of communes and LGD offices. The path and the information language/ distribution of data on the instruments ought to consider this specificity of rural areas. At present, full use of potential of the employees employed in communes or LGD offices as animators of entrepreneurship and innovativeness in rural areas is hindered by a significant competence gap. Thus, increasing the qualifications of personnel of the public offices in communes and poviats and of the local groups of actions with the support of the region (regional institutions) is proposed through a cycle of trainings for the employees designated for cooperation at local level with persons wishing to set up and develop their own business or implement innovations as well as with larger entrepreneurs or investors. These employees, having completed the trainings, will constitute a source of “first information” about the available offer of support (they will be able to show what is possible, where to find which information, who is responsible for individual actions and services, contact a given person with FEM and/or institutions implementing individual actions/instruments). The project assumes a systemic support and strengthening of personnel of public offices of communes and poviat offices and in particular local groups of actions in order to create a well-developed network of information and support at the local level. Scope of trainings ought to cover, among others, the following topics:

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Offer of support for entrepreneurs for the development and implementation of innovations, Possibility of support in the scope of setting up one's own economic activity (including start-up funds)

or entity of social economy, Meaning of the investment offer and the rules of service for investors or cooperation with SME (investor

service, information which should be placed on the website, information regarding the role/support of local institutions and regional institutions during a new investment etc.).

Framework assumptions of realization: The project would cover a cycle of, among others 19 trainings within the structure of poviats (due to the scope

of the plan of actions, the cities with poviat rights are not considered). In majority of poviats the consideration of realization of a larger number of trainings is possible.

Realization of a separate training for the representatives of local action groups under the existing network is assumed.

Value added of the project: Pursuant to the realization of the project, specific persons will be appointed who will deal with the support for development of entrepreneurship. This constitutes a potential for creation of a network of economic development in the form of employer forum of public officials of communes and poviats and employees of LGD offices (poviat networks will create a regional network). This network will be used for the transfer of current knowledge on regional and national institutions as well as for presenting good practices/novel solutions in the country and abroad. The potential for creation of this forum is at the disposal of FRDL Małopolska Institute of Territorial Self-Government and Administration, which runs 18 self-government forums in Małopolska (for the personnel of the territorial self-government); cooperating on a permanent basis with the region in the scope of local self-government development and the development actions carried out by him.

E.2. Stimulating the exchange of information about good practices in the scope of innovative actions

/Creating and developing innovation ecosystem requires engagement, activeness and actions of public sector. Engagement in this scope is critical both on the side of the regional self-government and the local self-governments. Therefore, promotion of good practices significant for the regional and local policy may be important for broader and broader undertaking of pro-innovation initiatives in rural areas of Małopolska. In order to stimulate action in this regard, creating a database of good practices is important as well as promotion targeted at advocating new models in commune/poviat management. It is worth adding that innovation in rural areas in majority of cases are not of radical nature and are often the effect of implementation of the so called good practices which should be promoted in these areas, including in the scope of local development policy (realization of public tasks) and social innovation. PROPOSED FORMS OF REALIZATION: 1. Realization of projects by regional self-government (in cooperation with local partners), targeted

at promoting good practices existing for the local policy, as inspiration for broader and broader undertaking of pro-innovative initiatives in rural areas of Małopolska. Description: The projects elaborated and implemented by the Małopolska Region towards target group and local self-government which to significant degree are responsible for the creation of pro-innovative conditions in the region. These projects are possible for realization jointly with the local partners (both local self-government and institutions, organizations, schools which identify good practices). The projects may be financed from the budget of voivodeships and/or external funds as well as with participation of funds from local partners. Promotion of good practices significant for regional policy and local policy may be of importance for an increasingly broader approach to pro-innovation initiatives in rural areas of Małopolska.

2. Promotion of good practices significant for the local policy as an inspiration of an increasingly broader undertaking of pro-innovative initiatives in the Małopolska countryside, through the use of self-government forums, conducted by FRDL Małopolska Institute of Territorial Self-Government and Administration. Description: FRDL Małopolska Institute of Territorial Self-Government and Administration coordinates the work of almost 20 self-governmental forums. The self-government forums are one of the most important forms of vocational education for the personnel of public administration applied by FRDL MISTiA. The forums

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are designated to integrate professional environments, their mutual support, widening of knowledge, improving the workshop of conducted profession and performed function. The forums are a platform for an exchange of information and experiences as well as the possibility of obtaining professional consultations. The forums are held once a month. Thus, apart from creating the platform for presentation of good practices important for the local policy, their promotion among the representatives of local self-governments during self-government forums held by FRDL MISTiA is also important. Of particular interest and inspiring could be the good practices presented during the forum sessions (both by the representatives of the region and the realisers of the presented good practices). Selection of the presented examples should consider the specificity of each forum (Forum of Mayors and Presidents of Małopolska, Forum of Secretaries of the Self-Government of Southern Poland, Forum of Treasurers of the Units of Territorial Self-Government of Małopolska, Forum of Self-Government Education, Małopolska Forum of Social Assistance, Economic Forum of Territorial Self-Government etc.).

Proposed/sample projects: Project E.2.1: INNOVATIONS-POTENTIAL FOR DEVELOPMENT

The project assumes identification and analysis, description and promotion in the internet of good practices in public management, in particular in rural areas (i.e. Thematic villages, creating new tourist products based on the material and non-material cultural and natural heritage, promotion of local production, creating/managing the areas and integrated services, new management models in self-government, experiences in the scope of PPP, creative solutions in the scope of realization of public tasks, including cooperation with non-governmental entities, new pro-ecology solutions etc.). It stems from the conviction that promotion of good practices, significant for the regional and local policy may be of importance for an increasingly wider undertaking of pro-innovative initiatives in rural areas of Małopolska. Framework scope of realization: Creating a separate website or internet website (or in case of identifying-development and existing

promotion). Specifying the format of description of a good practice-pro-innovative action, according to which specific

solutions will be described (including also disclosing, for the entities submitting new initiative could describe it).

Identification and description of good practices. This project will be realized in cooperation with local partners who may present their or recommended solutions (both local self-government and local institutions, non-governmental organizations, higher schools, business partners). Solutions concerning novel, interesting actions and innovations in rural areas will be presented in particular. They may be identified also in the course of participation in INTERREG projects or during study visits in the country and abroad, both of the representatives of regional institutions and the local partners, higher schools and other stakeholders. The website is to be a regional platform for exchange of thoughts and experiences, implemented solutions, promotion of good practices, ideas for innovations possible to be applied in rural areas. Promotion of website-proposals: Newsletter of the Marshal Office of Małopolska Region Mailing to communes and poviats and their entities, Promotion on local partners respective websites, Promotion during meetings of self-government forums functioning by FRDL MISTiA and at the occasion

of other regional events. Proposed organizer: regional institution such as Department of Regional Policy of the Marshal Office of the Małopolska Region Period of realization: 2018-2020 The project assumes creation of space in the internet for identification, promotion and implementation of good practices in public management, the role of which is to create pro-innovative conditions for the inhabitants. This stems from the conviction that promotion of good practices significant for the regional and local policy can be important for the increasingly wide undertaking of pro-innovative initiatives in rural areas of Małopolska. In order to stimulate actions in this scope, creating database of good practices and their promotion is key, which is targeted at promoting new models in commune management/poviat management (i.e. Thematic villages,

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creating new tourist products based on heritage, promotion of local production, creating/acting of integrated areas and management models, experiences in PPP, creative solutions in the scope of realization of public tasks, pro-ecology solutions). Framework scope of realization: Creating a separate website or internet website (or in case of identifying-development and existing

promotion). Specifying the format of description of good practices-pro-innovative actions-according to which promoted

solutions will be described (disclosure of editable version on the website in order for the entities that submit new initiatives to describe them).

This project will be realized in cooperation with local partners (both local self-government and institutions, organizations, higher schools which identify good practices). It also may constitute a space for presenting good practices identified by representatives of the region and the local self-government-i.e. Due to participation in projects INTERREG or participation in study visits in the country and abroad, both by the representatives of regional institutions and local partners or higher schools. Thus, the created website will be a regional platform for exchange of thoughts, promotion of good practices-ideas for innovations possible to be applied in rural areas. Promotion of the website: Newsletter of the Marshal Office of Małopolska Region Mailing to communes and poviats and their entities, Promotion on local partners respective websites, Promotion during meetings of self-government forums functioning by FRDL MISTiA and at the occasion

of other regional events.

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Priority III INCUBATING AND DEVELOPING ENTREPRENEURSHIP AND INNOVATIONS

CHALLENGES: Too costly and complicated process of applying for support and burdening almost entirely the entrepreneurs with

the risk (on all stages). Relatively low level of risk acceptance for the projects which are to contribute to development of entrepreneurship

and innovation. Simplifying the language/way of communication about the available sources of funding and contest documentation. Assumption stemming from RIS that the centre of innovation will be/is the Kraków metropolis, without considering

the territorialisation of innovation policy which significantly impacts the areas outside of KOM-the strategy does not differentiate the approach with regards to various areas/groups of recipients and their scale of actions. Too weak use of endogenic potential and resources, including non-material heritage of rural areas (traditions), especially

those located far from the metropolis, for defining new qualitative products and services. For the inhabitants of the countryside the funds are associated with almost exclusively highly technological innovations-

possibility of creating new products/services is not related to the resources of the countryside (material and non-material heritage). Weak information about trends, fashions and tendencies which shape development of innovative solutions. Weak skills of cooperation towards reaching a better, joint effect (i.e. Conduct of production, sale and promotion under

one brand, reaching an effect of synergy). Weak links, both business and non-business, creative. Difficulties in networking the objects (including public ones)-in rural areas due to the mental barrier, which does not

help the creation of quality, broad offer. Very behavioural way of thinking at work regarding the functioning of entities existing in the countryside. Average number of ecological producers on a country scale (1166 which gives the 8th place countrywide)-there

is a space for creation of new entities of this type. Worsening state of many private wooden objects outside the trail of wooden architecture.

ACTION F: SUPPORT FOR MECHANISMS OF STIMULATING DEVELOPMENT AND INNOVATON TRANSFER

Type of actions: F.1. Elaboration, implementation and promotion adequate for entities from rural areas of instruments

of support of the creation of incremental innovations. /In many cases the level of competitiveness of entities in rural areas might be significantly increased through the application of incremental innovations, which do not require investment expenditure or long-term R&D works. The creation of innovation of this type may be stimulated by vouchers with relatively low value or appear pursuant to the MA and LA theses dedicated for the purposes of the entrepreneurs. These solutions may be particularly important for the relatively young entities on the market as development stimulants. In relation to the reliefs introduced at national level in ZUS payments for the first half a year, the conduct of new economic entity may constitute an additional element of incentive in the scope of entrepreneurship, especially one realized locally (exemption from fees for ZUS for micro companies for the first half a year of activity./ PROPOSED FORMS OF REALIZATION: 1. Elaboration and implementation by the Małopolska Region of a voucher for incremental

innovations. Description: MICRO VOUCHER FOR IMPLEMENTATION Proposal of voucher for implementation of low-budget “idea” of micro entrepreneur. Vouchers dedicated for implementations of incremental innovations in rural areas, the effect of which would be a new/improved product or service. The entrepreneur may purchase products or services necessary for elaboration of a new/better product or service under the funds from the voucher. This instrument would constitute a support in the conducted and necessary processes of disagrarisation in the countryside, as complementary for the returnable instrument (preferential loans) or resources for research (voucher for innovations), for companies that need a larger capital for development investments. It is worth noting the fact that the majority of economic entities registered in rural areas are micro enterprises (preferring to the scale of region, this is significantly lower share of small enterprises while medium and large enterprises almost have no appearance/are not registered in rural areas of this region. Framework requirements and stages of realization:

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Elaboration of assumptions of micro-voucher implementation, for implementation (referring to experiences from implementing the voucher for innovations) for entrepreneurs. Value of voucher should amount to a minimum of PLN 10 thousand.

1 installment-50% of voucher value could be designated as pre-payment, 2 installment-50% of voucher value might be designated at the stage of settlement, post documenting the expenditure and indicating effects.

Vouchers may be designated for micro enterprises leading their activity in the area of Małopolska, for the minimum 3 months and which may indicate profits from the conducted by them activity, related to the sale of products or services.

Assumptions, concerning documentation, related to the intake and description of the business idea should correspond to good practices and conclusions from implementing the Małopolska voucher for innovations.

Realization of the voucher may be correlated to the project described below-”Students for the countryside” so that in case, when innovation would constitute the effect of ordered LA or MA thesis the value of the voucher would double.

In case of the solution elaborated in the course of writing doctoral thesis, the value of the voucher would triple.

Announcement of recruitment of projects (minimum one per year or in the formula of ongoing recruitment).

Preferences significant for the promotion of voucher implementation (possible for considering in points and/or access criteria): Vouchers will be designated for areas characterized by lower level of entrepreneurship, with regards

to the average for Małopolska. In the commune's programme of revitalization as one of the social-economic problems the outflow of the

youth as a precious social capital was noted. 2. Creation of the system of support for the Małopolska Region for creation of incremental innovation,

thanks to the creation of dedicated to rural areas projects under student diploma works and MA theses. Description: The system of dedicated to rural areas projects under student diploma and MA theses. In many cases the level of competitiveness of entities in rural areas might be significantly uplifted through applying incremental innovation which might be elaborated in the frames of dedicated MA and LA theses. The idea inspired by good practice: Financial support to innovative projects of SMEs. The support enables SMEs to cooperate with universities or research centres on innovation of their products or services, Czechy, Ústí nad Labem.

3. Implementation of solutions, targeted at promoting and developing economy with closed circulation, through grant contests, realization of own projects and including into the catalogue actions possible for funding in the framework of ROP MR for the years 2014-2020. Description: Initiating and implementing actions related to the development of economy with closed circulation at the local level may be very significant from the point of view of the benefits for natural environment and on the other hand, benefits for enterprise (potential for creating innovative products from what another entity does not need). Information that someone/a given entity has a surplus of some secondary material may be the information value for another company and an inspiration for one's own activity. Thus, the following is proposed: Financing should cover actions which enable communes/poviats to introduce tools of managing

information on “waste” which might constitute a base for someone else to elaborate another project (feed for kettledrum)-this may concern for instance material or fuel.

Considering the possibilities for entrepreneurs who while using the model of closed circulation would wish to expand/adjust their devices/installations would be important.

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Proposed/sample projects: Project F.1.1.: STUDENTS FOR THE COUNTRYSIDE

The project of creating the system which will enable cooperation and joint search of solutions for the development of enterprises (their products or services). Entrepreneur operating on the market or student, with the support of his promotor, will search for solutions for the designated problem or design supplementary components for identified innovations (i.e. Design of housing for a device, pattern of a new shoe or cloth item, using local patterns or application which facilitates distribution of goods or system of storing products). This intention stems from a strong conviction that there is a need for making the process of education more practical (contact with real problems of entrepreneurship environment), while at the same time ensuring fast access for the entrepreneurs to students with their specialist skills and knowledge. At the same time, in many cases the level of competitiveness of micro and small enterprises in rural areas might be significantly increased through the use of incremental innovations which might be elaborated under the dedicated MA and LA theses. System of dedicated to rural areas projects under student diploma and MA theses assumes two stages: Stage 1: In the first stage the launch is planned by the voivodship self-government, in the framework of the portal Innovative start that belongs to it, of an interactive database which includes submissions of the entrepreneurs and other entities acting in rural areas in the scope of problems to be solved. The students might also submit to the database the topics of their potential works they are interested in. Who can submit demand for services/products: micro and small entrepreneurs from rural areas in Małopolska (according to company registration), Entities of local self-government (including urban communes, urban-rural communes or poviats from

Małopolska), NGOs, including local action groups. Stage 2: In the second stage, recruitment for the contest organized by the voivodeship self-government is planned for motivational scholarships up to the level of PLN 5 thousand, devoted to cover parts of costs for elaboration of proposals for an innovative solution, dedicated to a specific entrepreneur (the remaining part after agreeing with the company/entity, would be covered by them). Who is the recipient of the offer related to the participation in the contest: The following students may participate in the contest: from Małopolska higher schools, from Małopolska (according to the residence address) who commenced studies at universities located also

outside of Kraków. Interdisciplinary teams would be preferred-students of various disciplines (i.e. engineer, material engineer, industrial pattern designer, economist)-then, the motivational scholarship for the project would amount up to PLN 6,000. Work promotor-remuneration in the amount of PLN 2,000, compensation for the time input, necessary to conduct this type of work with implementation nature.

F.2. Introduction of solutions in the scope of increasing access to creating innovative actions and using other

external means for these purposes. /Development of innovation requires bearing certain financial expenditure which may be covered by own resources, loans or which may stem from the funds of project nature. Due to the more frequently occurring lower rates of profit in case of innovative projects in rural areas, than in the cities, it is advisable to apply solutions that prefer entrepreneurs who function there as well as assist them in applying for the project funds. Therefore it is of particular importance to identify information-promotion actions, more strongly correlated with the specificity of rural areas (i.e. In cooperation with LGD or communes) for the strengthening of competitive potential of companies, operating in rural areas and the capacity for expanding activity by new products. Equally important is undertaking actions which prepare the Małopolska entities for the use of financial resources for research, under the financial instruments implemented by the European Commission, especially in the context of the fact that in the future financial perspective the allocation for realization of research and implementation at the European level is to be larger, since it is innovations which are considered to be the driving force of the economic development. /

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PROPOSED FORMS OF REALIZATION: 1. Introduction of preferences for SME in rural areas in the scope of loan instruments, as actions

targeted at disagrarisation of the countryside. Description: In order to increase the level of innovativeness of enterprises in rural areas, increasing access to the existing financial instruments is significant-including returnable loan funds, through introducing the system of preferences in interest rates, as an element targeted at: Increasing the level of using available financial instruments by entrepreneurs from rural areas, Strengthening the conducted disagrarisation processes in Małopolska.

2. Elaboration and implementation by the Małopolska Region of a voucher for the elaboration of research concepts, targeted at becoming the basis for applying for funds for realization of research under the programme Horizon 2020. Description: VOUCHER FOR HORIZON Proposal for the voucher for elaboration for the needs of enterprise of the research concept (research programme) which will become the basis for applying for the Horizon 2020 programme. On the basis of the elaborated research concepts the entrepreneurs will be able to apply for the support of research or implementation the objective of which is to elaborate solutions. Stages of realization: Elaboration of assumptions for implementation of Voucher for Horizon (referring to the experiences

from implementations of the voucher for innovations) for entrepreneurs. Target group: SME operating in Małopolska, Proposed voucher value: PLN 20 thousand

Implementation of the voucher: announcement of call for projects (in the contest formula or in the ongoing recruitment formula).

This action is of pilot character in the context of elaboration for the subsequent financial perspective. Implementation of approx. 15 vouchers in the pilot programme is estimated. /Explanation concerning the number of designed vouchers: Due to the rather small number of small and medium entities which have the potential for applying to the Horizon Programme 2020, it is proposed that the pilot will consider a larger number of vouchers than the possibilities of entities from rural areas. This assumption is accepted due to the effectiveness of introduced pilotage. Thus, the instrument will concern all economic entities in Małopolska, since it is critical to introduce tools for stimulating the occurrence of innovation in all types of enterprises functioning in rural areas, including small and medium ones./

Inspiration: good practice on the example of Aragon.

ACTION G: COOPERATION FOR THE DEVELOPMENT OF ENTREPRENEURSHIP AND INNOVATION

Type of actions: G.1. Development and strengthening the potential of economic zones

/Rural areas due to the access to qualified staff and transport costs to the market are characterized by smaller investment attractiveness than urban areas. Due to this fact, actions targeted at increasing the investment value of these areas are significant in the process of entrepreneurship development and in consequence, the occurrence of innovation./ PROPOSED FORMS OF REALIZATION: 1. Specialization of staff responsible for managing the zones in the region (support for local self-

governments/sharing knowledge and good practices). Description: Organization of cyclical trainings addressed to persons managing specialist economic zones in the region (SEZ). Apart from lifting qualifications of these persons the trainings will contribute to creating network of exchange of information between them. This will allow to share knowledge, that is effective solutions conditioning not only the level of “filling” the zone but also the development of the entities inside the zone.

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These trainings are addressed to the employees of self-governments and the representatives of institutions that manage the activity and development of economic zones. The training leaders should be practitioners, responsible for managing and developing the zones which in the specific areas may indicate specific successes or model solutions in the region (i.e. KPT), on the country and international scale. Trainings should additionally cover the representatives of local self-governments or institutions/organizations engaged in the creation of SEZ, who are in the course of investment process related to their creation.

2. Support by the Małopolska Region of the process of merging lands for the creation of large-size zones which the investors search. Description: The support of the process of merging lands into investment activity zones will cover the organizational and financial scopes. In case of Małopolska with specific agricultural structure, it is characterized by the smallest in Poland average size of households, which is a challenge which is significant for simulating changes in the development processes, especially in the context of areas located outside the cities-in rural areas. This action is also very significant in the context of legal changes and relations of creating SEZ with other indicators, which will condition economic efficiency from the investment for the entrepreneur.

3. Increasing communicative availability of activity and investment zones. Description: Creating the possibility of funding access roads to economic zones by the regional self-government under the regional funds (optimally ROP Małopolskie Region). Creating access roads is significant for the presently operating zones and newly created ones, as an elementary and key conditions for rationality of undertaken investments.

G.2. Promotion of use of public-civil partnership for the local development.

/Public-private partnership to a significant degree increases the investment possibilities of local self-governments and is of particular importance in the context of realizing development actions after 2020 (against the expected decrease of funds stream for the region of EU). At the same time, being a uniquely difficult challenge in applying this increasingly desired model, it requires specific actions for sharing knowledge and experiences in Poland by these entities, which already draw social-economic benefits from applying the promoted approach. PROPOSED FORM OF REALIZATION: 1. Realization of projects by regional self-government (in potential cooperation with local partners), targeted

at increasing the knowledge and change of thinking themes on PPP. Description: Organization by the regional self-government in cooperation with local partners of events (i.e. conference), addressed to the employees of communal offices and poviat starost offices and entrepreneurs in the scope of good practices, conditions and possibilities of applying the rules of public-private partnership, as an instrument enabling implementation of new/innovative solutions.

ACTION H: STIMULATING AND DEVELOPING LOCAL PRODUCTS

Type of actions: H.1. Support for the development and promotion of local production.

/Local production, by using endogenous resources (provisions, recipes, cultivations) may significantly impact the possibility of finding employment in rural areas; constitutes a significant development factor. Simultaneously it constitutes an element that increases the processes of building local identity (regional), which is significant towards the existing development trends, including in the scope of lifestyle (slow life). Thus, support for the process of creation of incubators of food processing is key, as well as promoting short deliveries and support for the process of creating and developing clusters, as initiatives targeted at increasing local cooperation./ PROPOSED FORMS OF REALIZATION: 1. Further support for creating incubators of food processing (kitchen) or local processing plants,

in the formula of grant support granted under LEADER actions-support for the local development directed by the society (RDP).

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Description: The contest support of the process of creation incubators of food processing (kitchen) or local processing plants should create engagement for the commune’s or poviat authorities. Małopolska experience in creating and functioning of the first in Poland Kitchen Incubator in Zakrzów (led by LGD Gościnie 4 Żywiołów), constitute a positive experience not only for stimulating local production, but also for social and professional activation. Thus, it is a positive verification of the accepted direction of actions and the method for realization of specific goals. However, the effect of scale is critical for the region, for the factual enhancing of local production, therefore, these actions should be promoted and continued on the scale of entire region.

2. Support for development of short supply chains for products created locally (harvested crops, breeding, processing), through organizing grant/subsidy contests. Description: This is an action targeted at connecting within the economic circulation of the inhabitants the offered valuable/attractive products or services with recipients on the local market. In order to reach the desired effects, it is critical to ensure access to entities functioning locally to funding development initiatives in the scope of reading: Product distribution networks, including through local and regional operators, Tools, supporting sale of local products, Creation of producer groups, including those enabling cooperation of producers of healthy

and eco-friendly food, coming from local farms, Creating open markets in town centres, including city centres. These are very important elements for education and development of short supply chains, which will constitute an instrument for stimulating local development, professional activation as well as building local identity. At the same time, these actions will bring many calculable benefits for the inhabitants: Decreasing the costs of supply and promotion, and consequently prices for clients (at the same time

constituting optimization of price for producer/breeder/farmer), Increasing product freshness (food processing, vegetables, fruits), Increasing access to healthy and cheap food (which is significant for consumers oriented towards healthy

lifestyle), Promotion of handicraft, Promotion of local products and talents, Diversification of methods of sale of products, coming from rural areas (under one brand).

3. Incubating and developing cluster initiatives, related to the local production and creation of short supply chains, through organizing grant/subsidy contests by the region's self-government. Description: The grant contest for strengthening the cluster potential should cover both actions related to the creation of initiatives of this type and the development of the existing initiatives. The support should be granted in case of indicating own input of cluster partners.

4. Information-promotional campaigns, realized by the regional self-government (in potential cooperation with local/industry partners). Description: Organizing by the region self-government promotional campaigns in the scope of promotion of local products as well as the meaning and the benefits for the inhabitants of the development of short supply chains. The support for the above noted actions by created brands (i.e. Made in Małopolska or Local Product of Małopolska) or creating new ways for marketing/local promotion of production and encouraging the region inhabitants for the use from locally created ecological food. Promotional actions should cover also the shaping of ecological attitudes (i.e. Promotion of beekeeping contributing to the protection of environment, including species protection and promotion of local products).

H.2. Undertaking systemic actions in the scope of introducing on the market of high quality regional, ecological

food products and promotion of regional cuisine. /Stimulating development of local production is of significant importance in the context of the growing interest in healthy food, on the other hand though it is a chance for creating new work places/forms of conducting economic

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activity in rural areas. The existing methods, provisions may constitute the basis for creating new products which refer to the existing or completely new ideas for the open and demanding clients. / PROPOSED FORMS OF REALIZATION: 1. Comprehensive support in introducing on the market of ecological food products through organizing

grant/subsidy contests by the region's self-government. Description: Stimulating the processes of introducing on the market high quality regional, ecological food products requires a structural support covering the following forms/actions: Elaboration of production technology, Elaboration of graphic identification and packaging, Adjusting the manufacturing base (consultations plus grant for retrofitting), Sale in the selected points in Kraków. Actions addressed to entrepreneurs.

2. Realization of projects by regional self-governments (in potential cooperation with local partners). Description: Expanding actions of the region by self-government, in the framework of the organized Małopolski Taste Festival, by certification of bars, restaurants and roadhouses, which offer dishes based on local products and with the use of traditional regional cuisine. These entities, in cooperation with the selected association would obtain certificates “Tastes of Małopolska” and the information on the created in this way route would appear in the promotional materials of the Marshal Office. Information about places of production and tasting of local/regional products should be found there as well. Action addressed to entrepreneurs. Estimated budget: PLN 1.2 million per annum Period of project realization: 2018-2020

Action inspired by good practice of Latvian high added value and healthy food cluster, Latvia and Agrifood Entrepreneurship Program, Aragon,

Proposed/sample projects: Project H2.1: IN THE NETWORK OF TASTE-THE TASTES OF MAŁOPOLSKA

“Tastes of Małopolska” is a brand, a certification institution i.e. bars, inns which are based on local products (Małopolska)-the proposal of expanding the scope of use towards the rural areas and entities acting there, using local products.

ACTION I: SUPPORT FOR DEVELOPMENT AND PROMOTION OF LOCAL TOURISM PRODUCTS

Directional solutions: I.1. Improvement of access to information about local heritage and tourist attractions

/Małopolska as one of the key tourist destinations in Poland continues to have the “undiscovered” so far heritage and potential of rural areas at its disposal. Thus, actions which consist in promoting tourist products, located in the countryside outside of key destinations, visited at present in Małopolska (Kraków, Oświęcim or Zakopane) are important. Regional self-government, due to the scope of impacting and disposing of experience regarding an effective promotion of heritage and tourism attractions should develop more eagerly the promotional actions concerning the heritage of Małopolska, situated in rural areas due to the positive effects of these actions for the development of entrepreneurship. This is targeted, among others, at shaping the demand for untypical tourist attractions, including those needed for the promotional actions of the region (i.e. with the use of the Brand of Małopolska). PROPOSED FORM OF REALIZATION 1. Creation by the regional self-government of the application for smartphones, preventing access

to information on permanent attractions and current events. Description: This application, addressed to the inhabitants and tourists with a division into subregions, should include: Key monuments and tourist attractions (information, trivia, interesting contextual narrations), Interesting photos, Hotel and gastronomy spot base,

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Profiles of famous persons from the area, Opinions of the influencers-related to Instagram. Additionally, the application should create the possibility of replying to the question on how to spend the weekend in Małopolska, with a division into subregions (or other units). This action should be related to placing of QR-Code in strategic places so that the application users could use the information included in the application fast while being in a given place. Action to be realized in cooperation with self-governments, local action groups, entrepreneurs.

2. Support for the development of educational paths and multimedia paths through organizing grant/subsidy contests by region's self-government. Description: Tourism must respond to the increasingly high expectations of tourists, but also use adequate and significant tools in order to present/familiarize with the unique regional heritage. Therefore the development and construction of new educational paths and multimedia trails, based on screens with readers, QR codes or multimedia touch screen is so important. The preferred projects should include the effects of actions in the scope of created creative contextual tourist products. The action is addressed to local self-governments or local actions groups and other organizations acting in the scope of tourism development.

3. Preparation of LGD to perform the role of local tourism operators, based on the local heritage of rural areas, through organizing grant/subsidy contests by region's self-government. Description: Local action groups on the one hand are perfectly aware of the resources and the heritage of their area, including: Material-monuments, natural phenomena, Non-material-creators, craftsmen, places which possess unique potential and offer. Better “use” of these resources/potentials and development of tourism, are not often possible in rural areas, due to lack of operators who would create an overall offer and who would “reach out” for new clients. The offer of key tourist centres in Małopolska is promoted by large travel agents which is enhanced by the conducted promotional actions. However, in case of many areas in rural areas, the promotional actions may not bring the desired effect without creating the network of operators of rural tourism, for the functioning of which LGD are perfectly prepared (these may also be other organizations/local institutions indicated by the Communes or LGD). The tourist offer of many areas requires tidying up in the context of individual age groups or tourist seasons (summer, winter), which may/should be the first step towards the development of the offer of areas outside of key tourist destinations in Małopolska. This is significant since i.e. The same creation of the offer of various types of educational workshops and offers for schools cannot guarantee the effect themselves-it is the effort and the engagement of a specific person (marketing) that may make the schools from entire Poland to want to come to workshops in woodcarving, bread baking, lacemaking, sheep grazing, painting in glass or local product making. LGD might perform the function of connector-contact point between the potential tourist and the craftsmen or persons who may provide specific objects. The support of the following actions is thus critical: Creation of tourist offer:

Addressed to individual age groups (including i.e. families with children, the youth, school groups-the youth from high schools and primary schools, seniors),

Considering seasonability. In the context of the offer, supplementing the marking of key places, including visual identification for

a given offer. Financing of activity that performs the role of rural tourism operator. Creation/purchase of tools for the promotion of one's offer or the offer of several LGD (considering small

towns, which are excluded from LGD, however, due to cultural reasons, they should be included within the offer).

4. Preparation of LGD to perform the function of operator in the scope of projects, concerning implementation of RES. Description: /Renewable energy sources not only have a positive impact on the quality of natural environment, but also stimulate the occurrence of stable, territorially scattered work places. Thanks to access to cheaper energy, also the competitiveness of economic entities has improved. Therefore actions targeted at increasing the

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energy efficiency are significant. These actions are of pro-health importance (quality of life) and the particular importance in the context of Małopolska, as tourist region. It is worth to note that the healing nature or the offers of active rest of the regions of Podhale and Gorec, require actions not only in the context of an image. That is why it is proposed in order to increase the efficiency of actions related to the introduction of RES, to include local action groups not only in the process of informing of the sources of funding but also in the implementation process of umbrella projects in the effect of which the access to sources of support in this scope will be diversified. In case of communes in which local self-government does not carry out activity in this scope, it will provide such access. This will eliminate the problem of this part of inhabitants who wished to apply pro-ecological solutions with the use of support from EU funds, however, cannot realize their intention and contribute to the improvement of environment state, including air quality.

I.2. Support of development of creative, contextual tourism products and preservation and better use

of wooden architecture. /Length of stay of a tourist on a given areas, thus, also inhabitants’ revenues, are correlated with the offer of spending free time there as well as attractiveness of the available local base. In the scope of the vintage wooden architecture, covered by branded and well promoted wooden architecture trail, this base is rather strongly unused and does not encourage tourists to a longer stay in the area of towns/communes in which the visited object is located. PROPOSED FORMS OF REALIZATION 1. Support for creation of creative, contextual tourist products through organizing grant/subsidy

contests by the region's self-government. Description: Creative, contextual tourist products should cover among others the creation of: Field games inspired by local heritage, Programmes of various types of workshops, based on local heritage, including craftsmanship and arts, Thematic trails, etc. Full information base of this type of products will be placed on internet websites of the Małopolska Region and LGD in individual communes/poviats. The addresses of the contest should be also higher schools which in this way might join the process of educating students and the works on the preparation of this type of contextual tourism products.

2. Announcement of contest by regional self-government for the selected groups of monumental wooden houses in Małopolska in cooperation with the local authorities, which were adjusted by the owners to the standards enabling their rental for tourists. Description: For the process of certification of this type of objects one should include, among others, the Małopolska branch of Polish Tourism Chamber or another institution selected during negotiations. The project would constitute a natural supplementation for the project of slow food type of tourist packages. Innovative approach to the often unused material heritage of the region would constitute a cheap method of its securing and maintaining, while at the same time constituting a significant step in the direction of higher anesthetisation of rural landscape. Information materials of the City Hall should be supplemented by an interactive database which informs about the objects which underwent the process of selection and obtained the appropriate certificate. Action address to entrepreneurs and local self-governments.

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PART 4

What can the REGION do for the

development of innovation?

FAST TRACK OF ACTION PLAN

Proposals of regional actions/instruments directly impacting the development of innovation in rural areas-years 2018-2020

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Fast track of action plan-implementation aspect of the RATIO project

The Małopolska Action Plan for the development of innovation in rural areas constitutes the effect of works under phase I of international partner project called Regional Actions to Innovate Operational Programmes (RATIO) financed from the INTERREG Europe Programme. The project is realized in partnership with 9 organizations representing apart from Małopolska the regions in: Spain (leader), Germany, Czech Republic, Latvia, Portugal, Italy and Ireland. The plan presents proposals of solutions and instruments of policy which may be implemented in the second phase of the project, which will be realized in the period between April 2018 and March 2020 through the Instrument of regional policy, around which the project works are cantered, that is Regional Innovation Strategy of the Małopolska Region for the years 2014-2020. In the third part of the action plan proposals of a number of actions were presented in the context of specific priorities. They may be implemented in a wide time perspective (considered in the new strategic plan of the region). Part four of the action plan refers directly to the second phase of RATIO project, with a time horizon from March 2020 FRDL MISTiA, in cooperation with the Małopolska Council of Stakeholders and other interested parties, elaborated the subject Action Plan, representing the Małopolska Region in the RATIO project (pursuant to the Resolution No. 931/15 of the Management of the Małopolska Region from 14 July 2015 on signing the letters of support in international projects submitted by institutions of the Małopolska Region under the Interregional Programme INTERREG Europe (European Territorial Cooperation 2014-2020). Works on the project and thus Action Plan, were realized by FRDL MISTiA, upon active participation of the Małopolska Region, including Department of Treasury and Economy, Department of Regional Policy and Department of European Fund of Marshal Office as well as the Małopolska Entrepreneurship Centre. Part of recommendation-ventures from part three, were considered in the recommendations for the region in the so called FAST TRACK OF ACTION PLAN-as proposed for implementation as priority in a relatively short period of time-within the frames of phase II (implementation) of RATION project. These are the actions directly related to the development of entrepreneurship and stimulation of development of innovation recommended for implementing in the period: April 2018-March 2020). Individual ventures, recommended for implementation by regional authorities in the frames of the realized pro-innovation policy and construction of eco-system of innovation development may be found below, indicating reference to part three-priority which concerns actions, key challenges, description of intention, supplementing them with provisions concerning the budget; proposed realiser and potential partners and time of realization in order for these proposals to have the most implementing and operating character.

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Implementation action, no and name:

01.MI. EDUCATING AND DEVELOPING EMPHATIC AND CULTURE-CREATIVE LEADERS (MI- Małopolska implementation)

Priority which concerns: Priority I Strengthening competencies and human capital

Action which concerns:

Action A: Leadership at local level

Type of action which concerns: A.1. Educating and developing emphatic and culture-creative leaders as transmitters of modern form of management and pro-social activity, based on cooperation and local activity.

Key challenges to which the enterprise responds (conclusions drawn from the project which constitute the basis for implementation)

Outflow of most precious intellectual capital-labour emigration of the youth and the talented. Kraków and the entire Kraków Metropolitan Area and Silesia are attractive places for work and living, constituting an alternative for the youth, who migrate from rural areas, settle down and start families; the outflow of young people occurs from rural areas, which are the greatest development potential. The identified and defined by the stakeholders of innovation development in rural

areas need for a definitely greater creativity and actions for stopping the outflow of young people in rural areas (most invested social capital). Weak use of the potential of the youth and gaps in infrastructure and the offer,

improving their social inclusion (gaps causing social exclusion, which does not facilitate decisions on staying or coming back to one's home place after a leave for educational or work purposes). Too small support for the existing local leaders and almost no local leaders

as initiators/promoters of the existing development initiatives-lack of mechanisms stimulating creativeness of the inhabitants.

Description of implementation action

Inclusion in the programme of cooperation of the Małopolska Region with non-governmental organization and other entities conducting public utility activity, targeted at development of leadership competencies of young persons at the stage of high school and studies (leadership)- entrusting/support for realization of the tasks in the form of open offer contests. Creating conditions for activeness of the young at the stage of secondary school and studies constitutes a significant but necessary investment in social capital. The young may learn activeness and engagement in their own (local) matters, solely through activeness at the stage when they have time, are brave and eager to take risks, engage keenly. This experience is substantial at the stage of taking later decisions, related to settling down and engaging professionally. What is important is for the proposed training cycles to end in realization of micro projects for the local society, elaborated in teams through the participants and implemented in the course of project duration (possible cooperation with organizations/local institutions. Inclusion for cooperation of NGOs and other entities conducting public utility activities and planning funds for projects of social organizations which may be supported/entrusted in the effect of realization of open offer contest and the selection of best offers. The grant competition should assume

Trainings in the scope of leadership for the youth (cycles of trainings), where young people will be prepared for undertaking local activities with regards to: Their identity and place in which they live; Conscious adjusting of their development path for their actions; Knowledge and tools for project realization (development ventures); Features and skills necessary in the work of a leader/motivator/coordinator, Practical realization of proposed by the training participants ideas/projects,

in cooperation with the existing local organizations or as non-formal groups (it is worth to consider the possibility of granting micro grants for the project-

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i.e. In the amount of PLN 500). The venture is based on the assumption that activeness, engagement, actions may be learnt through active work in a group towards the local society (engagement in various types of charity organizations, interest groups, local projects).

Estimated budget: 300 000 PLN Proposed realiser: Office of the Management of the Marshal Office of the Małopolska Region Cooperating entities: NGOs Funding sources: Małopolska Region's Budget Period of realization: 2018-2020

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02.MI. THE SUPPORT FOR CREATION OF CO-WORKING SPACE IN RURAL AREAS

Priority which concerns: Priority I Strengthening competencies and human capital


Action B: Business for the Young-the Young for Innovation

Type of action which concerns: B.2 The support for creation of co-working space in rural areas, correlated with smart specializations of Małopolska as a promotion of entrepreneurship attitudes.


Outflow of most precious intellectual capital-labour emigration of the youth and the talented. Kraków and the entire Kraków Metropolitan Area and Silesia are attractive places for work and living, constituting an alternative for the youth, who migrate from rural areas, settle down and start families; the outflow of young people occurs from rural areas, which are the greatest development potential. The identified and defined by the stakeholders of innovation development in rural

areas need for a definitely greater creativity and actions for stopping the outflow of young people in rural areas (most invested social capital). Weak use of the potential of the youth and gaps in infrastructure and the offer,

improving their social inclusion (gaps causing social exclusion, which does not facilitate decisions on staying or coming back to one's home place after a leave for educational or work purposes).


Creation of co-working space in the countryside as an increasingly more popular form of work among the persons who commence their professional activity. In the context of rural areas this might have a significance for the increase of their attractiveness on the labour market. More and more often the strong sides of places distant form city noise and traffic are appreciated which at the same time allow for realization of one's aspirations, using the same what is ensured by co-working zones in the city (a desk, computer, internet, training room or conference room or equipment in case of profiled zones and, more importantly, creative team). The solution may be adaptation of free facilities belonging to the commune or leasing of other objects for the purposes of newly established companies. This type of actions should not only encourage for creation of new companies thanks to minimizing the needs for financial input in the initial period, but also stimulate cooperation between entrepreneurs. Depending on the part of region and its specificity, creation of thematic space or hubs as initiatives targeted at common use of machines and devices by young entrepreneurs is possible. Dynamic growth of co-working zones in Kraków and the ongoing new investments in this scope constitute a significant information about culture and mentality of the youth, for whom the quality of life is critical, which is understood not only as quality of space in business but also as potential of interesting meetings in such zone. Subsidies for local self-governments (or entities representing them-operators), local action groups or business environment institutions, which in the effect of the announced contest wish to create/make available the co-working space for the purposes of the inhabitants of rural communes or rural-urban communes. The projects would ensure creation and commencement of activity of co-working spaces, combined with training-consulting support. The created co-working zones will operate on the basis of a specific plan of use of the planned for realization infrastructure under the venture, including the strategy of service provision. The document should contain also a catalogue of offered services and direction of offer development, including also the assumed price policy (prices of rental of "desk” in such space with access to common infrastructure/devices ought to be higher after 2 years of operations, especially in case of thematic space/hubs (i.e. with infrastructure for production of advertisements, graphics, sound processing etc.). Point of reference for the planning of this type of activity might be the model example of the Irish https://www.ludgate.ie - West Cork.

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In the process of planning and assessment a special attention must be drawn to the target group, joined with potential idea for the created co-work, bearing in mind the local market of services, resources and potential. A key element is also the communication plan-promotion of the created co-working space, which will show its key advantages not only in the context of way of functioning or infrastructure but also a place for living for the entrepreneurs, who decide to conduct their activity away from the fast and crowded city. An extremely significant aspect of the planned co-working zone is the training-consulting offer. Care for its quality and relation to industry/industries, under which the entrepreneurs will function. These services are to give the possibility of factual pragmatic support for the entrepreneurs, which will translate into the functioning on the market. Thus, it is important in this respect for the zone organizers to maintain flexibility and react to factual development needs of the entrepreneurs who will function in the framework of zones. Preferences important for the promotion of enterprising attitudes in rural areas (possible for encompassing in the scale of points and/or the access criteria): Lack of co-working zone in the commune. The project assumes modernization, potentially joined with an expansion of the

existing building. Communes characterized by the lowest level of entrepreneurship with reference

to average level in Małopolska. The commune and poviat in the territory of which a co-working zone is planned

to operate will undertake to include in the realization of the contest Young Małopolska for business (project described in the frames of type of action B.1), through joining in the funding of scholarship/grant which will enable implementation of the planned business plan-for participation of each of the levels of self-government additional points (not applicable for cities with poviat rights).

Commune/poviat in the area of which the co-working zone will operate, will introduce within its offer classes in the scope of entrepreneurship, assuming the creation of simulation of company operations (from idea to realization) if possible with the use of IT tools for the minimum of 10% of the youth at the age of 16-18 in each subsequent year of the period of project duration.

Within the communal programme of revitalization, the outflow of young people, the precious social capital, was defined as one of the significant social-economic problems and the creation of co-working zones was anticipated.

Estimated budget: Implementation does not generate additional costs. (Concerns action 3.2 Promotion of entrepreneurial attitudes and BEI, ROP MR for the years 2014-2020 for which the funds were planned for the years 2018-2019- PLN 16.9 million

Proposed realiser: Małopolska Entrepreneurship Centre (as Implementing Authority) Cooperating entities: Arrangements at the stage of establishing the scope of preference:

Department of Treasury and Economy of the Marshal Office of the Małopolska Region, Managing Authority of the Operational Programme of the Marshal Office of Małopolska Region, Małopolskie Entrepreneurship Centre

Funding sources: ERDF Period of realization: 2018 -2020

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03.MI. MAŁOPOLSKA WINDOW OF KNOWLEDGE AND POSSIBILITIES (paper clip) (Project D.2.1)

Priority which concerns: Priority II Intensification of disagrarisation actions in Małopolska


Action D: Effective programming and implementing disagrarisation processes

Type of action which concerns: D.2. Improvement of access to knowledge and the existing instruments for innovation development.


Specific model of approach to development of innovation should not be the only trend in light of the diverse barriers for the development of innovation, needs and specificity of rural trends-lack of specific relationship, model solutions, institution, that would support disagrarisation of rural areas is significant.


Not sufficiently transparent system for building entrepreneurial-educational partnerships: Entrepreneurs find it difficult to identify the centre/persons with whom they

may contact (significant barrier for many initiatives), Schools have problems in finding partners for the planned/realized researches.


Disagrarisation, understood as decreasing the economic meaning of agriculture and agricultural production in national economy is a significant challenge for the development of innovation in Małopolska countryside. Supports conduct of coherent actions targeted at developing entrepreneurship in the countryside which may lead to an increase of the number of innovations, especially in communes with weak and average quality of soil. It is worth noting that the specificity of entrepreneurship and innovation development in rural areas requires a different approach than in case of stimulating these processes in urbanized areas. It is important for the actions to be adjusted to the local specificity and assumed conditions of availability and mentality of rural societies (personal meetings/discussions-as a basic form of perception and overcoming the existing stereotypes and inadequate or insufficient models of actions, scepticism towards new innovative solutions). Creating a website/portal which presents an offer of possible forms of support for development of entrepreneurship and innovation, related to the access to development services, provided locally and related to building partnerships on the enterprise-scientific centre level (entrepreneur-scientist). It will at the same time be the source of knowledge and space for establishing contacts (enterprise-school), search for partners for cooperation (by the school or SME). As shown by the so far practice, difficulties in the scope of mutual perception of partners constitute a significant barrier for the use of available support in the region, including the financial one (i.e. Vouchers for innovations) Key components: DEVELOPMENT FUNDS Window for development funds (innovation and entrepreneurship)-

information about support/regional/national instruments and other instruments under the control of the European Commission for the entrepreneurs, i.e. Horizon 2020 or COSME (window for information with the indication of necessary contact data).

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Window for start-up funds-information on support for commencing economic activity or entity of social economy.

Window for seed capital instruments-information about the available seed capital funds/start-up capital fuds, as ones with significant importance for the development of small companies with large innovative potential (promotion and approximation of information on the existing instruments coordinated and adequately adjusted to the needs of recipients is important).

KNOWLEDGE FOR DEVELOPMENT Window for knowledge-key information concerning innovations, including:

good practices for individual industries or industry related knowledge bases (related to the existing entities or publications)-i.e. According to smart specializations of the region. Operations of a platform may be related to the activity conducted already under SPIN project (as a new formula or its expansion), under which the representatives of the region try to adjust to build partnerships between entrepreneur and the school, granting support or directing towards the existing networks of support, i.e. Regional centres of Enterprise Europe Network.

Window for cooperation-database of contacts, connecting enterprises and schools, scientific institutes in the region (entrepreneur sends the scope to a given email address specified in the form, for which he searches for cooperation, in the effect the regional consultant on contact service (innovation broker) who receives the information is able to search not only for the adequate school but also for a specific scientist who may constitute a partner for cooperation.

Window for information and consultancy-comprehensive information on granting advice in the area of Małopolska, including divided into scope of consulting and its location, related to the possibility of establishing direct contact with a specific consultant.

Window for trainings-a place of available information, funded trainings for entrepreneurs (development vouchers) and for persons who are not entrepreneurs.

Contents of individual components (including verification of their validity/developing their scope) and functional set up ought to be consulted at the stage of architecture and functionality design of the side with the representatives of rural areas (organizations and entrepreneurs operating there). The party in the scope of support details may refer to the already existing parties various institutions which will exclude duplicating of the same information.

The project inspired by good practice of Local Enterprise Office from the Irish region of South West.

Estimated budget: 200 000 PLN Proposed realiser: Regional institution-Department of Regional Policy of the Marshal Office of

Małopolska Region, as realiser of the SPIN project Cooperating entities: Managing Institution of the Operational Programmes of Marshal Office of

Małopolska Region, Małopolskie Entrepreneurship Centre, Department of European Funds of the Marshal Office of Małopolska Region, Department of Treasury and Economy of the Marshal Office of Małopolska Region, and institutions of business environment, local action groups, higher schools and their Technology Transfer Centres, Enterprise Europe Network, commune offices and poviat offices of Małopolska

Funding sources: ERDF Period of realization: 2018-2020

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04.MI. NETWORK OF KNOWLEDGE-SELF-GOVERNMENT IN THE NETWORK FOR INNOVATION (Project E.1.1.)



Action E: Development and strengthening knowledge for innovation in the region

Type of action which concerns: E.1. Strengthening knowledge and competence of employees of self-governments in the scope of developing entrepreneurship and innovation.


Too weak development of entrepreneurship in rural areas-the entrepreneurship develops too slowly, thus it is difficult to expect innovations in economic sector.



Weakly specialized local self-government in managing the assistance/support, consulting/information for enterprises (competence gap).


Disagrarisation, understood as decreasing the economic meaning of agriculture and agricultural production in national economy is a significant challenge for the development of innovation in Małopolska countryside. Supports conduct of coherent actions targeted at developing entrepreneurship in the countryside which may lead to an increase of the number of innovations, especially in communes with weak and average quality of soil. It is worth noting that the specificity of entrepreneurship and innovation development in rural areas requires a different approach than in case of stimulating these processes in urbanized areas. It is important for the actions to be adjusted to the local specificity and assumed conditions of availability and mentality of rural societies (personal meetings/discussions-as a basic form of perception and overcoming the existing stereotypes and inadequate or insufficient models of actions, scepticism towards new innovative solutions). In order to increase the level of innovation of enterprises from rural areas, a significant seems to be the increase of access to knowledge about the possibilities of support for development of enterprises and entrepreneurship of the inhabitants of Małopolska, including under the Regional Operational Programme for the Małopolska Region for the years 2014-2020, among others by: The existing financial non-returnable instruments (vouchers, research projects,

improvement of energy efficiency of companies); The existing returnable instruments (preferential loans-very significant

presentation in a transparent way both in the network and through directly transmitted knowledge)

Necessary knowledge in the scope of innovation; Available development services, funded under RSF (training vouchers,

consulting); Funds for commencement and development of economic activity. Realization of this assumption is possible through presenting a specific, dedicated information on the available offer of support to the countryside inhabitants. The cooperation with communes and local groups of actions as institutions which are

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the closest to the inhabitants is critical. As it stems from the analyses, the inhabitants of countryside most eagerly obtain information and use the instruments of support of which they learn during direct contact. At the same time, most frequently the first and only contact for many inhabitants are the employees of the indicated public offices of communes and LGD offices. The path and the information language/ distribution of data on the instruments ought to consider this specificity of rural areas. At present, full use of potential of the employees employed in communes or LGD offices as animators of entrepreneurship and innovativeness in rural areas is hindered by a significant competence gap. Thus, increasing the qualifications of personnel of the public offices in communes and poviats and of the local groups of actions with the support of the region (regional institutions) is proposed through a cycle of trainings for the employees designated for cooperation at local level with persons wishing to set up and develop their own business or implement innovations as well as with larger entrepreneurs or investors. These employees, having completed the trainings, will constitute a source of “first information” about the available offer of support (they will be able to show what is possible, where to find which information, who is responsible for individual actions and services, contact a given person with FEM and/or institutions implementing individual actions/instruments). The project assumes a systemic support and strengthening of personnel of public offices of communes and poviat offices and in particular local groups of actions in order to create a well-developed network of information and support at the local level. Scope of trainings ought to cover, among others, the following topics: Offer of support for entrepreneurs for the development and implementation of

innovations, Possibility of support in the scope of setting up one's own economic activity

(including start-up funds) or entity of social economy, Meaning of the investment offer and the rules of service for investors or

cooperation with SME (investor service, information which should be placed on the website, information regarding the role/support of local institutions and regional institutions during a new investment etc.).

Framework assumptions of realization: The project would cover a cycle of, among others 19 trainings within the

structure of poviats (due to the scope of the plan of actions, the cities with poviat rights are not considered). In majority of poviats the consideration of realization of a larger number of trainings is possible.

Realization of a separate training for the representatives of local action groups under the existing network is assumed.

Value added of the project: Pursuant to the realization of the project, specific persons will be appointed who will deal with the support for development of entrepreneurship. This constitutes a potential for creation of a network of economic development in the form of employer forum of public officials of communes and poviats and employees of LGD offices (poviat networks will create a regional network). This network will be used for the transfer of current knowledge on regional and national institutions as well as for presenting good practices/novel solutions in the country and abroad. The potential for creation of this forum is at the disposal of FRDL Małopolska Institute of Territorial Self-Government and Administration, which runs 18 self-government forums in Małopolska (for the personnel of the territorial self-government); cooperating on a permanent basis with the region in the scope of local self-government development and the development actions carried out by him.

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Estimated budget: 120 000 PLN Proposed realiser: Regional institution-Managing Institution of the Operational Programmes of

Marshal Office of the Małopolska Region, responsible for the promotion of EU funds Cooperating entities: Entities engaged in implementation of the funds in the above scope (MCP,

Department of European Funds of the Marshal Office of Małopolskie Region, MARR) and economic development (MARR, KPT).

Funding sources: ERDF/technical assistance Period of realization: 2018-2020

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05.MI. INNOVATIONS-POTENTIAL FOR DEVELOPMENT (Project E.2.1.)



Action E: Development and strengthening knowledge for innovation in the region

Type of action which concerns: E.2. Stimulating the exchange of information about good practices in the scope of innovative actions.


Too weak development of entrepreneurship in rural areas-the entrepreneurship develops too slowly, thus it is difficult to expect innovations in economic sector.



Creating and developing innovation ecosystem requires engagement, activeness and actions of public sector. Engagement in this scope is critical both on the side of the regional self-government and the local self-governments. Therefore, promotion of good practices significant for the regional and local policy may be important for broader and broader undertaking of pro-innovation initiatives in rural areas of Małopolska. In order to stimulate action in this regard, creating a database of good practices is important as well as promotion targeted at advocating new models in commune/poviat management. It is worth adding that innovation in rural areas in majority of cases are not of radical nature and are often the effect of implementation of the so called good practices which should be promoted in these areas, including in the scope of local development policy (realization of public tasks) and social innovation. The project assumes identification and analysis, description and promotion in the internet of good practices in public management, in particular in rural areas (i.e. Thematic villages, creating new tourist products based on the material and non-material cultural and natural heritage, promotion of local production, creating/managing the areas and integrated services, new management models in self-government, experiences in the scope of PPP, creative solutions in the scope of realization of public tasks, including cooperation with non-governmental entities, new pro-ecology solutions etc.). It stems from the conviction that promotion of good practices, significant for the regional and local policy may be of importance for an increasingly wider undertaking of pro-innovative initiatives in rural areas of Małopolska. Framework scope of realization: Creating a separate website or internet website (or in case of identifying-

development and existing promotion). Specifying the format of description of a good practice-pro-innovative action,

according to which specific solutions will be described (including also disclosing, for the entities submitting new initiative could describe it).

Identification and description of good practices. This project will be realized in cooperation with local partners who may present their or recommended solutions (both local self-government and local institutions, non-governmental organizations, higher schools, business partners). Solutions concerning novel, interesting actions and innovations in rural areas will be presented in particular. They may be identified also in the course of participation in INTERREG projects or during study visits in the country and abroad, both of the representatives of regional institutions and the local partners, higher schools and other stakeholders. The website is to be a regional platform for exchange of thoughts and experiences, implemented solutions, promotion of good practices, ideas for innovations possible to be applied in rural areas. Promotion of website-proposals:

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Newsletter of the Marshal Office of Małopolska Region Mailing to communes and poviats and their entities, Promotion on local partners respective websites, Promotion during meetings of self-government forums functioning by FRDL

MISTiA and at the occasion of other regional events. Proposed organizer: regional institution such as Department of Regional Policy of the Marshal Office of the Małopolska Region Period of realization: 2018-2020 The project assumes creation of space in the internet for identification, promotion and implementation of good practices in public management, the role of which is to create pro-innovative conditions for the inhabitants. This stems from the conviction that promotion of good practices significant for the regional and local policy can be important for the increasingly wide undertaking of pro-innovative initiatives in rural areas of Małopolska. In order to stimulate actions in this scope, creating database of good practices and their promotion is key, which is targeted at promoting new models in commune management/poviat management (i.e. Thematic villages, creating new tourist products based on heritage, promotion of local production, creating/acting of integrated areas and management models, experiences in PPP, creative solutions in the scope of realization of public tasks, pro-ecology solutions). Framework scope of realization: Creating a separate website or internet website (or in case of identifying-

development and existing promotion). Specifying the format of description of good practices-pro-innovative actions-

according to which promoted solutions will be described (disclosure of editable version on the website in order for the entities that submit new initiatives to describe them).

This project will be realized in cooperation with local partners (both local self-government and institutions, organizations, higher schools which identify good practices). It also may constitute a space for presenting good practices identified by representatives of the region and the local self-government-i.e. Due to participation in projects INTERREG or participation in study visits in the country and abroad, both by the representatives of regional institutions and local partners or higher schools. Thus, the created website will be a regional platform for exchange of thoughts, promotion of good practices-ideas for innovations possible to be applied in rural areas. Promotion of the website: Newsletter of the Marshal Office of Małopolska Region Mailing to communes and poviats and their entities, Promotion on local partners respective websites, Promotion during meetings of self-government forums functioning by FRDL

MISTiA and at the occasion of other regional events.

Estimated budget: 50 000 PLN Proposed realiser: Regional institution- Department of Regional Policy of the Marshal Office of the

Małopolska Region Cooperating entities: All departments of the Marshal Office of Małopolska Region, Regional Labour Office,

MARR, KPT, higher schools, business environment institutions, local self-government, social organizations, including LGD.

Funding sources: Małopolska Region's Budget Period of realization: 2018-2020

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06.MI. MICRO VOUCHER FOR IMPLEMENTATION

Priority which concerns: Priority III Incubating and developing entrepreneurship and innovations Action which concerns:

Action F: Support for mechanisms of stimulating development and innovation transfer

Type of action which concerns: F.1. Elaboration, implementation and promotion adequate for entities from rural areas of instruments of support of the creation of incremental innovations.


Too costly and complicated process of applying for support and burdening almost entirely the entrepreneurs with the risk (on all stages).

Relatively low level of risk acceptance for the projects which are to contribute to development of entrepreneurship and innovation. Assumption stemming from RIS that the centre of innovation will be/is the

Kraków metropolis, without considering the territorialisation of innovation policy which significantly impacts the areas outside of KOM-the strategy does not differentiate the approach with regards to various areas/groups of recipients and their scale of actions. Too weak use of endogenic potential and resources, including non-material

heritage of rural areas (traditions), especially those located far from the metropolis, for defining new qualitative products and services.


In many cases the level of competitiveness of entities in rural areas might be significantly increased through the application of incremental innovations, which do not require investment expenditure or long-term R&D works. The creation of innovation of this type may be stimulated by vouchers with relatively low value or appear pursuant to the MA and LA theses dedicated for the purposes of the entrepreneurs. These solutions may be particularly important for the relatively young entities on the market as development stimulants. In relation to the reliefs introduced at national level in ZUS payments for the first half a year, the conduct of new economic entity may constitute an additional element of incentive in the scope of entrepreneurship, especially one realized locally (exemption from fees for ZUS for micro companies for the first half a year of activity. Proposal of voucher for implementation of low-budget “idea” of micro entrepreneur. Vouchers dedicated for implementations of incremental innovations in rural areas, the effect of which would be a new/improved product or service. The entrepreneur may purchase products or services necessary for elaboration of a new/better product or service under the funds from the voucher. This instrument would constitute a support in the conducted and necessary processes of deagrarianisation in the countryside, as complementary for the returnable instrument (preferential loans) or resources for research (voucher for innovations), for companies that need a larger capital for development investments. It is worth noting the fact that the majority of economic entities registered in rural areas are micro enterprises (preferring to the scale of region, this is significantly lower share of small enterprises while medium and large enterprises almost have no appearance/are not registered in rural areas of this region.

Framework requirements and stages of realization: Elaboration of assumptions of micro-voucher implementation,

for implementation (referring to experiences from implementing the voucher for innovations) for entrepreneurs. Value of voucher should amount to a minimum of PLN 10 thousand.

1 installment-50% of voucher value could be designated as pre-payment, 2 installment-50% of voucher value might be designated at the stage of settlement, post documenting the expenditure and indicating effects.

Vouchers may be designated for micro enterprises leading their activity in the area of Małopolska, for the minimum 3 months and which may indicate profits

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from the conducted by them activity, related to the sale of products or services. Assumptions, concerning documentation, related to the intake and description

of the business idea should correspond to good practices and conclusions from implementing the Małopolska voucher for innovations.

Realization of the voucher may be correlated to the project described below-”Students for the countryside” so that in case, when innovation would constitute the effect of ordered LA or MA thesis the value of the voucher would double.

In case of the solution elaborated in the course of writing doctoral thesis, the value of the voucher would triple.

Announcement of recruitment of projects (minimum one per year or in the formula of ongoing recruitment).

Preferences significant for the promotion of voucher implementation (possible for considering in points and/or access criteria): Vouchers will be designated for areas characterized by lower level

of entrepreneurship, with regards to the average for Małopolska. In the commune's programme of revitalization as one of the social-economic

problems the outflow of the youth as a precious social capital was noted

Estimated budget: PLN 2 million (pilotage for designating approx. 100 vouchers with maximum

amount per voucher of 20,000-with a decreasing value of voucher, decreases total budget).

Proposed realiser: Regional institution (i.e. Małopolskie Entrepreneurship Centre). Cooperating entities: Arrangements at the stage of specifying assumptions:

Department of Treasury and Economy of the Marshal Office of the Małopolska Region, Managing Authority of the Operational Programme of the Marshal Office of Małopolska Region, Małopolskie Entrepreneurship Centre

Funding sources: Małopolska Region's Budget Period of realization: 2018-2020

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07.MI. STUDENTS FOR THE COUNTRYSIDE (Project F.1.1.)


Action F: Support for mechanisms of stimulating development and innovation transfer.

Type of action which concerns: F.1. Elaboration, implementation and promotion adequate for entities from rural areas of instruments of support of the creation of incremental innovations.



Relatively low level of risk acceptance for the projects which are to contribute to development of entrepreneurship and innovation.

Too weak use of endogenic potential and resources, including non-material heritage of rural areas (traditions), especially those located far from the metropolis, for defining new qualitative products and services. Weak information about trends, fashions and tendencies which shape

development of innovative solutions. Very behavioural way of thinking at work regarding the functioning of entities

existing in the countryside.


In many cases the level of competitiveness of entities in rural areas might be significantly increased through the application of incremental innovations, which do not require investment expenditure or long-term R&D works. The creation of innovation of this type may be stimulated by vouchers with relatively low value or appear pursuant to the MA and LA theses dedicated for the purposes of the entrepreneurs. These solutions may be particularly important for the relatively young entities on the market as development stimulants. The project of creating the system which will enable cooperation and joint search of solutions for the development of enterprises (their products or services). Entrepreneur operating on the market or student, with the support of his promotor, will search for solutions for the designated problem or design supplementary components for identified innovations (i.e. Design of housing for a device, pattern of a new shoe or cloth item, using local patterns or application which facilitates distribution of goods or system of storing products). This intention stems from a strong conviction that there is a need for making the process of education more practical (contact with real problems of entrepreneurship environment), while at the same time ensuring fast access for the entrepreneurs to students with their specialist skills and knowledge. At the same time, in many cases the level of competitiveness of micro and small enterprises in rural areas might be significantly increased through the use of incremental innovations which might be elaborated under the dedicated MA and LA theses. System of dedicated to rural areas projects under student diploma and MA theses assumes two stages: Stage 1: In the first stage the launch is planned by the voivodship self-government, in the framework of the portal Innovative start that belongs to it, of an interactive database which includes submissions of the entrepreneurs and other entities acting in rural areas in the scope of problems to be solved. The students might also submit to the database the topics of their potential works they are interested in. Who can submit demand for services/products: micro and small entrepreneurs from rural areas in Małopolska (according

to company registration), Entities of local self-government (including urban communes, urban-rural

communes or poviats from Małopolska),

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NGOs, including local action groups. Stage 2: In the second stage, recruitment for the contest organized by the voivodeship self-government is planned for motivational scholarships up to the level of PLN 5 thousand, devoted to cover parts of costs for elaboration of proposals for an innovative solution, dedicated to a specific entrepreneur (the remaining part after agreeing with the company/entity, would be covered by them). Who is the recipient of the offer related to the participation in the contest: The following students may participate in the contest: from Małopolska higher schools, from Małopolska (according to the residence address) who commenced studies

at universities located also outside of Kraków. Interdisciplinary teams would be preferred-students of various disciplines (i.e. engineer, material engineer, industrial pattern designer, economist)-then, the motivational scholarship for the project would amount up to PLN 6,000. Work promotor-remuneration in the amount of PLN 2,000, compensation for the time input, necessary to conduct this type of work with implementation nature.

Estimated budget: PLN 450 thousand (pilotage for realization of approx. 50% with promotion costs). Proposed realiser: Regional institution-regional institution-Department of Treasury and Economy

of the Marshal Office of Małopolska Region. Cooperating entities: Higher schools Funding sources: Małopolskie Region's Budget Period of realization: 2018-2020

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08.MI. VOUCHER FOR HORIZON


Action F: Support for mechanisms of stimulating development and innovation transfer.

Type of action which concerns: F.2. Introduction of solutions in the scope of increasing access to creating innovative actions and using other external means for these purposes.



Relatively low level of risk acceptance for the projects which are to contribute to development of entrepreneurship and innovation.

Too weak use of endogenic potential and resources, including non-material heritage of rural areas (traditions), especially those located far from the metropolis, for defining new qualitative products and services. Weak information about trends, fashions and tendencies which shape

development of innovative solutions. Very behavioural way of thinking at work regarding the functioning of entities

existing in the countryside.. System of information and innovation support in rural areas is not comprehensive

enough and is distant from local entities. Przeciętnemu zainteresowanemu trudno jest dotrzeć do informacji, trudno się zorientować z kim należy się skontaktować w sprawie swojego pomysłu, jego analizy pod kątem innowacji oraz możliwości finansowania. Advisors are too far away, in larger cities.


Development of innovation requires bearing certain financial expenditure which may be covered by own resources, loans or which may stem from the funds of project nature. Due to the more frequently occurring lower rates of profit in case of innovative projects in rural areas, than in the cities, it is advisable to apply solutions that prefer entrepreneurs who function there as well as assist them in applying for the project funds. Therefore it is of particular importance to identify information-promotion actions, more strongly correlated with the specificity of rural areas (i.e. In cooperation with LGD or communes) for the strengthening of competitive potential of companies, operating in rural areas and the capacity for expanding activity by new products. Equally important is undertaking actions which prepare the Małopolska entities for the use of financial resources for research, under the financial instruments implemented by the European Commission, especially in the context of the fact that in the future financial perspective the allocation for realization of research and implementation at the European level is to be larger, since it is innovations which are considered to be the driving force of the economic development.

Proposal for the voucher for elaboration for the needs of enterprise of the research concept (research programme) which will become the basis for applying for the Horizon 2020 programme. On the basis of the elaborated research concepts the entrepreneurs will be able to apply for the support of research or implementation the objective of which is to elaborate solutions. Stages of realization: Elaboration of assumptions for implementation of Voucher for Horizon (referring

to the experiences from implementations of the voucher for innovations) for entrepreneurs. Target group: SME operating in Małopolska, Proposed voucher value: PLN 20 thousand

Implementation of the voucher: announcement of call for projects (in the contest formula or in the ongoing recruitment formula).

This action is of pilot character in the context of elaboration for the subsequent financial perspective. Implementation of approx. 15 vouchers in the pilot programme is estimated.

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/Explanation concerning the number of designed vouchers: Due to the rather small number of small and medium entities which have the potential for applying to the Horizon Programme 2020, it is proposed that the pilot will consider a larger number of vouchers than the possibilities of entities from rural areas. This assumption is accepted due to the effectiveness of introduced pilotage. Thus, the instrument will concern all economic entities in Małopolska, since it is critical to introduce tools for stimulating the occurrence of innovation in all types of enterprises functioning in rural areas, including small and medium ones./ Inspiration: good practice on the example of Aragon

Estimated budget: PLN 300,000 (pilotage for assignment of approx. 15 vouchers). Proposed realiser: Regional institution-Department of Treasury and Economy of the Marshal Office of

Małopolska Region (work on the concept) in cooperation with the Małopolska Entrepreneurship Centre (MCP work on the concept and implementation).

Cooperating entities: - Funding sources: ERDF Period of realization: 2018-2020

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PART 5

Monitoring System of

the Małopolski Action Plan of the Development of Innovation in rural areas

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Monitoring system FRDL Małopolska Institute of Territorial Self-Government and Administration is responsible for the conduct of the process of monitoring of the Małopolska Action Plan for Development of Innovation on Rural Areas, in close cooperation with the Marshal Office of the Małopolska Region, which is responsible for implementing the Plan in the scope of its 3 and 4 part, concerning the planned instruments and actions of regional nature, including those related to the implementation of the Regional Operational Programme of the Małopolska Region for the years 2014-2020.

This type of solution guarantees greater independence and objectivism, especially in the situation when within the process of implementation there are other entities involved. Monitoring of tasks realization, saved in this document, will be conducted mainly on the basis of an analysis of product indicators for the year 2019 and 2020. This type of simplified approach to the problem of monitoring is most proper in relation to selecting the part of actions to the so called fast realization track of the Action Plan. With such practical conditions it becomes impossible to monitor the degree of realization of assumed targets or the assessment of effectiveness of the conducted intervention.

The present monitoring of product indicators, conducted in half year cycles, will however allow for the conduct of corrective actions in case when values of indicators have not been reached in individual period of time or danger occurred of non-obtaining of these values.

Reporting in the scope of indicators of the product will be correlated with the process of implementing individual tasks and will require ongoing cooperation between FRDL MISTiA with individual departments of the City Office of the Małopolska Region. The main recipient of the reports from monitoring of product indicators will be the Management of Małopolska Region.

Product indicators with regards to the realization fast track

Type of action Name of indicator Measurement unit

Estimated value (2019)


A.1. Education and development of emphatic and culture-creating leaders as transmitters of modern form of management and prosocial activity, based on cooperation and local activity.

Number of trainings for young leaders

piece 10 10

Number of micro projects addressed to local societies realized by young leaders

piece 20 20

B.2. Support for creation of co-working spaces in rural areas , including those correlated with smart specializations of Małopolska

Number of created places offering co-working space

piece 15 15

D.1. Effective programming and implementing disagrarisation processes

Number of newly created entities coordinating development of innovation and entrepreneurship in rural areas

piece 1 1

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D2. Improvement of access in rural areas to knowledge and broker and consulting services in the scope of development of innovative actions

Number of persons using the offered services under the supra local networking of coaching of innovation

persons 100 100

Number of newly created internet portals on support and development of entrepreneurship and innovation

piece 1

Number of Małopolska SME from rural areas which introduced innovative process/product/service, using the external consulting support

piece 5 5

E.1. Strengthening knowledge and competencies of self-government employees in the scope of the problem of support for innovativeness

Number of trained employees of communal offices and poviat offices in the scope of cooperation with entrepreneurs/investors

persons 140 140

E.1. Stimulating the exchange of information on good practices in the scope of innovative actions

Number of regional practices conducted towards the exchange of thoughts, promotion of good practices

piece 1

F.1. Elaboration, implementation and promotion for entities from rural areas of support instruments for occurrence of incremental innovations

Number of incremental innovations which occur due to the support in the form of vouchers,

piece 40 60

Number of granted subsidies for preparation of application in Horizon programme 2020,

piece 3

Number of enterprises cooperating with research institutions

piece 5 10

In the longer perspective, that is until 2022 depending on the degree of realization of all remaining actions covered in the Plan, also the conduct of monitoring with regards to the proposed list of result indicators will also be justified. Data concerning result indicators should be taken annually from the base of Local Data Bank gathered by the Central Statistical Office.

Result indicators-for monitoring in the longer perspective

Name of indicator Measurement unit

Current value (year)


Professional activity indicator in rural areas % 56.1 (2017)

58.4

Average search time for work in rural areas month 13.2 (2016)

10.6

Percentage of industrial enterprises cooperating in the scope of innovative actions

% 5.7 (2016)

6.27

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Documents

GENERAL INFORMATION · FRDL Małopolska Territorial Self-Government and Administration Institute has since March 2016 been working on the assumptions of the Małopolska Action Plan