1. Validated Joint Strategy Clustrat – Boosting Innovation through new cluster concepts in support of emerging issues and cross- sectoral themes Valentina De Marchi, Roberto Grandinetti University of Padua Lubjiana24th June 2014

2. The core strategic elements of CluStrat 20.02.20132

3. The base of CluStrat’s strategic framework CLUSTERS Interconnected firms and institutions Specialized in intermediary/final goods/services related to one category of products concentrated in a regional or subregional area CLUSTERS Interconnected firms and institutions Specialized in intermediary/final goods/services related to one category of products concentrated in a regional or subregional area EMERGING INDUSTRIES Active ageing Green economy Sustainable mobility EMERGING INDUSTRIES Active ageing Green economy Sustainable mobility CROSS-CUTTING ISSUES Knowledge and technology transfer Internationalisation Gender, diversity and innovation CROSS-CUTTING ISSUES Knowledge and technology transfer Internationalisation Gender, diversity and innovation

4. A variety of (existing) clusters (1) Europe is rich in clusters Such clusters are very diverse in terms of: Size (regional vs. sub-regional) Specialization (high-tech vs. low-tech) History (bottom-up vs. top-down) Governance (with or without CMO) …. Emerging models of clusters: Industrial district High-tech regional cluster Hub-and-spoke …

5. A variety of existing clusters (2) Cluster Traditional Industrial Districts Cluster Hub-and-spoke Firms KEAs Universities Cluster High-tech cluster

6. A variety of existing clusters (3) Cluster Traditional Industrial Districts Cluster Hub-and-spoke Firms KEAs Universities Cluster High-tech cluster

7. A variety of existing clusters: policy implications Cluster policy should consider that clusters’ form may vary across and within European regions Cluster policy should be selective, meaning to aim at favour the strengthening or the formation of production systems that have the characteristics of a good cluster, i.e. advantageous inter-firm relationships, entrepreneurial firms, and effective institutions. 7

8. From new cluster concepts to new clusters policies: building the strategic framework 20.02.20138

9. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

10. The two levels of the strategic framework the European Union level, where the measures aimed at boosting cross-cluster cooperation and the formation of smart meta- clusters (transnational clustering) are to be adopted; the regional level, where the regional government bodies should make use of the existing tools (if any) or prepare new ones to boost smart specialisation of existing clusters and the formation of smart regional clusters (regional clustering).

11. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

12. 1. Developing new cluster concepts (NCCs) In order to take the opportunities in emerging industries and develop trans-regional and trans-national cooperation, NCCs should consider put together different existing and unconnected actors with complementary knowledge: existing clusters; new-founded clusters; organizations which, even if not part of a cluster, still possess competences that are relevant for cross-cluster cooperation; Cross-cluster cooperation initiatives at: Cluster level (Inter-cluster cooperation) Regional level (Regional clustering) European level (European clustering) 12

13. Developing new cluster concepts: cooperation between existing clusters Region 1Region 2 Smart specialisation and cross-cluster cooperation Smart specialisation and cross-cluster cooperation Cluster 1A Cluster 1B Cluster 2

14. Smart specialisation and cross-cluster cooperation Smart specialisation and cross-cluster cooperation Developing new cluster concepts: Regional clustering Region 1Region 2 Cluster 2 Cluster 1 = Cluster 1A + Cluster 1B + … Cluster 1 = Cluster 1A + Cluster 1B + …

15. Meta-cluster in an emerging industry Meta-cluster in an emerging industry Developing new cluster concepts: towards European clusters Region 1Region 2 Smart specialisation and cross-cluster cooperation Smart specialisation and cross-cluster cooperation Cluster 2 Region 3 KEA Cluster 1 = Cluster 1A + Cluster 1B + … Cluster 1 = Cluster 1A + Cluster 1B + …

16. Developing new cluster concepts: policy implications European policy should favour the creation of regional clusters in cases in which the regional scale allows to take opportunities linked with the emerging industries, which a smaller scale will not allow to catch. A similar approach should favour the development of other suitable forms of collaboration and network having the same aim.

17. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

18. 2. The actors of the NCC: large and small firms, knowledge providers, local institutions 18 Firms KEAs/KIBS Universities

19. 2. The actors of the NCC: the crucial role of knowledge institutions Key enabling actors (KEA): research centres specialised in one of the key enabling technologies associated with the emerging industries, i.e. nanotechnology, advanced materials, industrial biotechnology, etc. (Institutional) Knowledge-intensive business services (KIBS): They provide services in a specialized field, e.g. a specific category of materials or of products, supporting the innovation processes of their clients.

20. The actors of the NCC: the crucial role of knowledge institutions Region 1Region 2 Smart specialisation and cross-cluster cooperation Smart specialisation and cross-cluster cooperation Cluster 2 Region 3 KEA Cluster 1 = Cluster 1A + Cluster 1B + … Cluster 1 = Cluster 1A + Cluster 1B + … KIBS In particular, specialised in a key enabling technology (KET) Universities KIBS

21. Clusters and KETs for the emerging industries 21 Dott. Petra Püchner – “Expected impact of new cluster strategies for Central Europe and the Danube region”

22. KETs for emerging industries Key Enabling Technologies (KETs) identifies by the EU: Nanotechnology Micro-nanoelectronics Advanced materials Photonics Industrial biotechnology Advanced manufacturing systems Other useful technologies: ICT applications 20.02.201322

23. The actors of the NCCs: policy implications In order to increase the ability of European regions to compete in emerging industries, innovation projects developed by firms and clusters have to be supported by an appropriate knowledge institutions (sub)system, including KEA and institutional KIBS that have reached the excellence in their field and are able to support projects of transnational cooperation on emerging industries. In order to ensure to involve just knowledge institutions being particular knowledgeable, a form of accreditation of both KEA and KIBS at the European level could be developed

24. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

25. 3. The supply and demand side of emerging industries Integrating the perspective of the supply side with that of the demand side constitutes a highly qualifying element of CluStrat. This means conceiving and creating contexts where the supply side and the demand side of emerging industries can interact Creation of innovative environments (Living Labs, Societal Pilots,…) by firms, clusters, public actors

26. The supply and demand side of emerging industries: the quadruple helix model 26 Source: Arnkil et al., 2010

27. The supply and demand side of emerging industries: policy implications Cluster policies should support the interaction of the demand and supply side, to ensure to better tap into emerging industries markets Considering that demand is much more fragmented than the other helix, cluster policy should support the organization of the demand 20.02.201327

28. The supply side and the demand side of an emerging industry Region 1Region 2 Cluster 2 Region 3 KEA Cluster 1 = Cluster 1A + Cluster 1B + … Region 4 Context of experience Context of experience

29. The supply side and the demand side of an emerging industry Region 1Region 2 Cluster 2 Region 3 KEA Cluster 1 = Cluster 1A + Cluster 1B + … Region 4 Context of experience Context of experience http://www.openlivinglabs.eu

30. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

31. 4. NCCs and Smart Specialization Strategy Cross-cluster and cross-sectoral collaboration within regions is considered a key way for the region to identify and develop a unique competitive advantage but represent also a key subject for EU policy makers to deliver smart specialization objectives to Smart specialization at the regional, not at the cluster level, which should be developed considering for the relative advantages with respect to other EU regions ‘New’ clusters (regional or European clustering) should be performed considering for the overall regional S3 (convergency) 31

32. 4. NCCs and Smart Specialization Strategy (2) Public policies Firms Knowledge institutions Demand SMART SPECIALIZATION

33. The example of Veneto region pilot on the sustainable living cluster 33 New regional law on clusters and firms’ aggregation Regional smart specializations: Sustainable living Smart factory Creativity and new manufacturing Agrifood Clustrat pilot: Sustainable Home and Housing Furniture Cluster + Electronica appliances cluster+ lighting clusters + domotic firms + institutional KIBS

34. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

35. 5. NCCs and Entrepreneurial CMOs In order to cope with the complexity emerging from cross-cluster cooperation and addressing emerging industries cluster management organizations (CMOs) should be entrepreneurial Entrepreneurial CMOs are capable of: identifying and proposing to cluster firms business opportunities in emerging industries offer occasions of cross-cluster cooperation.

36. 5. NCCs and Entrepreneurial CMOs (2) Should support firms collaboration toward emerging industries (intra-cluster, cross- cluster, trans-national) A useful example is that of ‘business network contracts’ developed in Italy (Italian Law 9 April 2009, n. 33, art. 3, co. 4-ter, developed within the ‘Small Business Act for Europe’) allows two or more enterprises, on a purely contractual basis, to jointly perform one or more economic activities in order to increase their potentials for innovation and competitiveness Specific (innovation-oriented) goals, common body for governance, suited for SMEs Should support the creation of new firms ‘smart’ business incubators

37. Indicators of CMOs excellence 20.02.201337

38. NCCs and Entrepreneurial CMOs: policy implications In the context of selective policies to favour clusters, a crucial aim is that of the evolution of CMOs toward an entrepreneurial approach, so that they get capable of identifying and proposing to cluster firms (or their combinations) business opportunities in emerging industries and to offer occasions of trans-regional cooperation. This way, CMOs would facilitate the development of the cluster smart specialization, which already represents a key concept of the European Commission 2020 policy framework 20.02.201338

39. New cluster concepts and the cross-cutting issues 20.02.201339

40. Developing the CluStrat’s strategic framework Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs

41. Implications for cross-cutting issues: Knowledge and Technology Transfer Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs To ensure NCC work as learning systems, where information and knowledge circulate and combine to generate new knowledge, an appropriate cognitive infrastructure need to be developed The insertion of the demand expands and empowers the knowledge and innovation community Favour synergic cooperation across knowledge institutions (intra- regions and across- regions). Cross-industry K&T transfer

42. Implications for cross-cutting issues: Internationalization Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs Regional and European clustering may strengthen the competitive position of Europe and its regions in the emerging industries, on a global scale Contexts for demand and supply to interact should involve (and may be replicated in) different (EU) regions The involvement of KEA and institutional KIBS in different EU regions is necessary to develop competences in the emerging industries The main role of entrepreneurial CMOs should be to promote internationalization and transnational cooperation

43. Implications for cross-cutting issues: gender and diversity Variety of clusters The actors Supply and Demand side Developing new cluster concepts (NCCs) Smart Specialization Strategies Smart Specialization Strategies Entrepreneurial CMOs Entrepreneurial CMOs should support diversity in entrepreneurship (ethnic entrepr., woman entrepr.) and human resource management as source of creativity and innovation for firms and institutions involved Knowledge of diversity of consumers and users and their involvement stimulate the design of innovative solutions in every emerging industry