singer_Open Days University,Brussels, October Triple Helix – social innovation: is Croatia ready for it? Slavica Singer J.J. Strossmayer University in Osijek, Croatia UNESCO Chair in Entrepreneurhsip

singer_Open Days University,Brussels, October Are we ready to cope with… Global issues that are not avoided by anyone: –Poverty –Climate change –Energy –Recession Croatian local issues: –Low competitiveness, low innovativeness –Political and economic transitional processes – EU accession process –Regional development imbalances (uneven access to opportunities) How ? - Triple Helix model – PROBLEMS CANNOT BE SOLVED AT THE LEVEL AT WHICH THEY EMERGED – INNOVATION IS NEEDED

singer_Open Days University,Brussels, October Triple Helix – social innovation From fragmented actions to cooperation From bilateral to trilateral cooperation From bureacratic structure to lateral, open innovation space

singer_Open Days University,Brussels, October Triple Helix Spiral model of innovation process - multiple relations in the capitalization of knowledge – HYBRIDIZATION (Etzkowitz, 2000): –Internal ENTREPRENEURIAL transformation of each of the actors University Business sector Government –Mutual influence of each of the actors –Creation of a new level of trilateral networks for creating new ideas and forms of high-tech, high- touch development

singer_Open Days University,Brussels, October Triple Helix – where to start? From any stakeholder –University, government, business sector On any level –Subnational, national, international

singer_Open Days University,Brussels, October Why is Triple Helix so important for Croatia? Short supply of everything (from educated people to roads) Sharp asymmetry of having less and needing more than others –Triple Helix – needed practical tool for rational usage of very limited soft (knowledge & commitment) and hard resources (money)

singer_Open Days University,Brussels, October How to survive in the globalized world – case of Croatia Mega changes of the political and economic system (1990ies) War ( ), neither war nor peace ( )

singer_Open Days University,Brussels, October Case of Croatia, 20 years later EU accession process Transition from resource-driven to innovation-driven economy –Why it is not faster? Low innovativeness – innovation performance EIS 2008: among the slowest catching-up countries Low share of growing businesses Low level of graduates Lack of government support for innovative ventures Lack of venture funding (business angels, venture capital)

singer_Open Days University,Brussels, October Croatia Brussels Osijek

singer_Open Days University,Brussels, October Eastern Croatia Rich in natural resources (soil, water, wood, climate) Higher unemployment (22% to 65%) More necessity based entrepreneurs (motivational index for entrepreneurial acitivity: TEA Opportunity / TEA Necessity): 0.5 vs in Croatia, 3.2 in Istria GDP/pc: 2,500 EUR vs. 8,000 EUR in Istria, or 19,000 EUR in Zagreb Young people are leaving Plus….

singer_Open Days University,Brussels, October Mine suspected areas in Croatia

singer_Open Days University,Brussels, October Vukovar 18 November

singer_Open Days University,Brussels, October Case of Osijek: our answers, fragmented NOA, microcredit institution, 1996, USAID Center for Entrepreneurship, 1997, Open Society Institute –Franchise Center, 2003 –Family Business Forum, 2003 University based Master’s Degree Program in Entrepreneurship, 2000 Business Incubator, 2002 CEPOR, SME Policy Center, Zagreb,

singer_Open Days University,Brussels, October Eastern Croatia: strategic choices, 2005 Strengths Education industry Natural resources Industrial and craft tradition Airport Opportunities EU accession Global trends Weaknesses Raw material providers Financially weak local government Politization instead of profesionalization Threats Young people leaving 1 2

singer_Open Days University,Brussels, October Case of Osijek Where we are now? –Lagging behind Where we want to be? –To become the region with the fastest growth rate of GDPpc in Croatia How to achieve it? –Strategic alliance for development

singer_Open Days University,Brussels, October Waiting for Godot, or… To develop an enterprising society based on individual and institutional capacity for: Innovativeness Competitiveness Cooperation

singer_Open Days University,Brussels, October Case of Osijek: looking for proactive answers Strategic vision for the region –Osijek Baranya County: The County where young people want to live –Municipality of Osijek: From industrial to intelligent city

singer_Open Days University,Brussels, October Case of Osijek– development scenarios City without changes City where young people want to live Dow Jones index for evaluating a business: –Attracting / losing talented people

singer_Open Days University,Brussels, October Scenario 1: county/city without change Unemployment stays unchanged

singer_Open Days University,Brussels, October Scenario 2: Intelligent city Creating a technology-use culture Networking of institutions Vibrant entrepreneurial environment Entrepreneurial local self-government

singer_Open Days University,Brussels, October Recommendations 1 P1: Broadband coverage of Osijek P2: Investments in campus, Technology Park and International Center for Entrepreneurial studies P3: Services related to intellectual property rights + venture fund in partnership with the banks, business community and university

singer_Open Days University,Brussels, October Recommendations 2 P4: Development of digital democracy P5: International advisory board to the mayor P6: Branding strategy based on the vision of transformation of Osijek from industrial to intelligent city

singer_Open Days University,Brussels, October Risks Inability to create positive energy (lack of leadership capacity for leading positive change) Fear of changes Not knowing how to implement strategy Inability to network everyone responsible and everyone interested

singer_Open Days University,Brussels, October Accountability test 1 Learning region: is “value adding” process possible? Yes, but willingness and knowledge are needed in participants of the Triple Helix process

singer_Open Days University,Brussels, October Accountability test 2 For the University: –To link the roles of teaching, research and community service by internal mechanisms –To introduce reality tests Employability of students Ability to participate in solving local development problems For the Local Government: –To cooperate with the university on all facets of the development process (skills enhancement, technological development and innovation, development of enterprising culture) For the business sector: –Strengthen the innovaton capacity

singer_Open Days University,Brussels, October Triple Helix emerges if… –Public sector is decent (efficient, transparent, innovative) –University is autonomous and accountable, entrepreneurial –Business sector is competitive (productive, innovative, opportunity based)

singer_Open Days University,Brussels, October But, why Triple Helix is not there, yet? Low innovation capacity of the business sector (low demand for knowledge) Teaching-oriented universities Governments overwhelmed with developmental issues, but without a strategic framework –Role of governments in transitional countries in supporting innovation climate was temporarily lost (Etzkowitz, 2006) –From too much government to idealistic “hands off” economy

singer_Open Days University,Brussels, October What is missing? Policy (strategic) framework Trust among major stakeholders –Business sector does not trust universities –Universities are waiting to be approached Interlinked mechanisms –E.g. technology parks, incubators… Public awareness of the importance of knowledge-based entrepreneurship

singer_Open Days University,Brussels, October Some conclusions Transitional costs of the slow catching-up process are huge Without Triple Helix there is NOT enough capacity to handle such scale and intensity of changes needed for catching-up Subsidiarity principle - everyone is accountable for establishing innovative society based on hybridization of knowledge

singer_Open Days University,Brussels, October Challenges Schumpeterian challenge - too little destruction, too little creation –The worst scenario Partnership for Growth and Jobs –The best scenario Changes are possible, but political will, expert leadership and knowledge are needed

singer_Open Days University,Brussels, October Can we… Implement the principle of CREATIVE DESTRUCTION for opening new ways of organizing knowledge and pedagogy on the campus (Schumpeter) Create entrepreneurial university culture based on the expectation that university should be a true MOBILIZER and EQUALIZER for empowering young people for opportunities in a society (Timmons) Develop entrepreneurial university organisation for PURSUING OPPORTUNITIES regardless of current resource limitations (Stevenson) Define the university mission as to equip young people with knowledge and skills for jobs of the 21st century: PROBLEM IDENTIFIERS, PROBLEM SOLVERS, IDEAS BROKERS (Reich)

singer_Open Days University,Brussels, October In order … To move universities from ignoring and observing toward participating and leading positive change in their surroundings

singer_Open Days University,Brussels, October Can you imagine… Universities that change themselves and the world around them Responsible governments that serve the needs of their citizens Business sector that is socially responsible

singer_Open Days University,Brussels, October Two calls for action On the institutional level: –Universities should be pushed, demanded… to become RELEVANT and ACCOUNTABLE –Free movement of students, faculty, researchers and administrators/leaders On the policy, national and EU levels: –Triple Helix to be used for developing consistent policies, programs and instruments to link together national and international efforts in helping developing countries to catch-up

singer_Open Days University,Brussels, October Contact Slavica Singer J.J. Strossmayer University in Osijek UNESCO Chair in Entrepreneurship Gajev trg 7 HR Osijek, Croatia Phone: Fax: