1. Creating Networks for Regional Innovation and Growth Open Days 2005, Workshop Regional Lisbon Governance, Baden-Württemberg Representation 13.10.2005 Veit Haug, Wirtschaftsförderung Region Stuttgart GmbH (WRS)

2. Agenda Introduction of the Stuttgart Region Regional Lisbon Governance? Innovation- and Cluster-Policy in the Stuttgart Region Regional Competence Centre Programme Theses

3. 1. The Stuttgart Region - Facts and Fígures Population: 2.6 million from 170 countries Area: 3.654 km² Municipalities: 179 People in employment: 1,024,367 Members of the Regional Assembly: 93 Hours of sunshine: 1820 per year Wine production: 42 million liters per year Michelin stars: 13 Historic palaces and castles: 68 Liters of mineral water per day : 40 million EU-Awards of Excellence for Innovative Regions: 3

4. 1.2. Economic data of the Stuttgart Region ~155.000 companies Gross domestic product: 88 billion Euro Unemployment rate: ~6,5 % Overseas Sales (Manufacturing): 44 billion Euro Most important industries: Automotive, Engineering Tools, Medical…), Electrical, IT, Media, Headquarter of corporate groups such as DaimlerChrysler, Porsche, Bosch, Festo, Trumpf, Behr, Alcatel-SEL, Dürr, Stihl, Celesio, Schuler, Allianz Life etc. Extremely high research-density and -intensity R&D expenditure in the Stuttgart Region makes ~5,7 % of the GDP!

5. 1.3. The Emergence of High-Technology Clusters in the Stuttgart Region 1900 1930 1960 1985 Future? Automotive Telecom Electrical Textile Radio/TV Print Aero Automotive Toolmaking Textile Print 1995 2005 Automotive Telecom Electrical Computers Toolmaking Med tech Radio/TV Print Aerospace Automotive Electrical Computers Software Telecom Toolmaking Med tech Microsystems Radio/TV Robotics Aerospace Automotive Telecom Electrical Computers Software Med tech Toolmaking Automation Robotics Mechatronic Aerospace Logistics Automotive Telecoms Electrical Software Toolmaking Automation Simulation/VR Med tech Nanosystems Nanomaterials Tech. Textiles Mechatronic Aerospace Logistics Automotive? Nanosystems Fuelcell Energy Converters Sensors/actuators Neuroengineering Tissue Engineering Drug modelling Sentient computing Autonomous Sytems...? Matchstick, Portable Drilling Machine, Automobile, Spark Plug, Perlon Stockings, Office Photocopier, Lever Arch File, Refrigerator, Bra, Coffee- Machine, TV-Tower, Mainframe Computer, ABS, Airbag, ESP…

6. 1.4. The Stuttgart Region Economic Development Corporation (WRS) Founded 1995 as a GmbH (Ltd.) 33 full-time employees Subsidiaries for Biotech, Film etc. Budget 2004: 8 million Euro Tasks: Support for Investors Location Marketing Innovation-Policy, Network- and Cluster-Development

7. 2.1. Lisbon Regions - Characteristics Universities and centres of academic excellence Entrepreneurs with marketable ideas and products Core of successful large companies Quality management teams and talent Sources of early stage venture capital Supportive infrastructure Affordable space for growing businesses Access to capital markets Attractive living environment and accommodation Compare with Prof. J.F. Gibbons - Stanford University 1998 The Creative Class is moving away from traditional corporate communities, Working Class centers and even many Sunbelt regions to a set of places I call Creative Centers. (p. 218) Richard Florida: The Rise of the Creative Class And How Its Transforming Work, Leisure, Community and Everyday Life

8. 2.2. Regional Lisbon Governance is about... Building new image! New visions! New locations! New regional economic circuits! Approaches and incentives to involve new actors! New partnerships, new strategic alliances! New ways to think about regional development! New decision-making processes! New ways to strengthen and manage regional development! A supportive European Regional Policy! Sources: Prof. Kunzmann, University of Dortmund, Prof. Alan Barrell, Cambridge You look at things and ask - why? But I dream of things that never were and ask – why not? George Bernard Shaw

9. 2.3. What can Regional Lisbon Policy help? Support the development of an Enterprise Society Enable and optimise transfer and cross-sectoral cooperation Explore and trigger the development of clusters and sub-clusters Initiate and/or coordinate large scale EU-projects Improve access to finance Support network-managers Help attracting talent Build strong international Networks Promote Regional learning processes

10. 2.4. What could interfere with the Regional Lisbon Process? Lack of regional visions Knowing-why-not stakeholders Old claims and traditions Established (over-) regulation Inflexible finance institutions Backward looking regional opinion leaders Weak regional leadership Lack of creative knowledge based industries in the region Uninterested regional/local media Populist innovation trend setters Low degree of internationalisation Lack of regional marketing and communications Source: Prof. Kunzmann, University of Dortmund

11. 3.1. Regional Lisbon Governance - Management of Knowledge-Based Regions like Stuttgart Management Source: Barbro Berg, City of Stockholm

12. 3.2. Identifying Potential Media Automotive Virtual Reality/ Simulation DesignICT Toolmaking Electrical ET Fuelcell

13. Inhouse Industry & Handicraft Media Research & Development Skilled Employees International Relations Europe North America & Overseas Media Region Stuttgart Consistency Job & Family Handicraft Energy & Environment al Engineering Research Support Information Technologies Regional Competence & Innovation Centres Job Market & Qualification University & Entre- preneurs Industrial Design Animation & Visual Effects Health Economy Mobility & Automotive Investor Support Real Estate Services Investor Services KTMC: Telematics & Mobile Computing ITV: Technical Textiles NAC: Online Services Mechatronics Mediafaktur Filder: Print, Publishing, Communicatio ns & Media BITZ: Telecommunic ations, Data Transmission & Security Services Fuel Cell Technology Customer Care: Customer Relationship Management Facility Management KURS: Environmental Engineering KLOK: Logistics KISEM: Solar Technologies & Energy Services VDC: Virtual Reality & Collaborative Engineering VSC: Integrated Voice Solutions Business Angels Network < Coordination Outsourced & Decentralize d Knowledge Base CompaniesUniversities Non University Research Facilities Intermediarie s Regional Competence & Innovation Centres Horizontal Measures Department 3.3. Applied Regional Innovation Strategy (by WRS) Regional Clustermanagement

14. 3.4. Example: Developing the Fuel-Cell Cluster in the Stuttgart Region Companies (Examples): DaimlerChrysler AG Ballard Power Systems AG EnBW AG EvoBus StartUps like Escube, FuMaTech, Smart Suppliers like Behr, Mann + Hummel, Modine Europe, Mahler AGS Research (Examples): Fuel Cell Research Alliance Baden-Württemberg Center of Competence for Fuel Cell DLR, ZSW, ISI Universities, Fraunhofer and Max Planck Institutes

15. 3.4. Example: Steps in Fuel-Cell Cluster-Development Analysis and contact to the Stakeholders Developing a competence profile for the location Developing a Mid-and Longterm Programme Publishing the F-Cell Guide Annual F-Cell- Conference F-Cell Innovation Award Starting EU-Projects Optimizing financing for Fuel Cell Companies Setting up a Competence Center Embedding in European Platforms International Co-Operation (Fuel-Cell Canada, Next Energy Michigan USA, California Fuel-Cell Partnership)

16. 4.1. Regional Competence Centres Well organized regional networks integrating all possible regional companies, universities, research facilities working in the same field of technology. Transformation of results to negotiable products and services Optimization of the use of innovative potentials of companies, universities and research facilities Stimulation and and support of co-operations (including Private-Public) and support for start-ups Platform for (large scale) projects 16 Competence Centres in different fields of technology. > 360 companies (80% SME) > 50 institutes and research facilities Competence Centers Stuttgart Region

17. Speech Technologies Vaihingen/Enz Marbach Kornwestheim Landeshaupt- stadt Stuttgart Backnang Welzheim Weinstadt Esslingen Göppingen Geislingen/Steige Nürtingen Kirchheim/Teck Denkendorf Ostfildern Leinfelden- Echterdingen Filderstadt Kreis Göppingen Kreis Böblingen Kreis Ludwigsburg Rems-Murr-Kreis Technical Textiles E-Government Environmental Technologies Logistics Facility Management Telecommunication Mechatronic s Solar Technologies Mediatechnologies Mobile Computing Online Services Virtual Dimension Center Simulation and Virtual Reality in Industrial Applications 4.2. Stuttgart Region Innovation- and Competence Centers Fuelcell Technology

18. 4.3. Regional Networks and Competence Centers – Lessons Learned: The most important instrument: The Network Manager who sets up and cultivates the network, keeping the partners participation and the know-how-transfer alive The most important process: The communication between the partners which should be moderated by the network manager and supported by communication platforms The most important constitutional element: The legal body for the network (e.g. a association) to ensure the partners commitment for financing and (net-) working The most important task: Initiating concrete projects to ensure the partners perception of (net-)work advantages Pierre Laffitte

19. 4.4. Regional Networks – To dos... Open regional networks to non-established actors! Foster regional dialogue and regional communication! Generate in-built innovation processes in regional institutions! Establish partnerships for strategic regional planning! Form strategic alliances for innovative development! Promote catalytic projects for regional learning! Encourage the formation of international networks! Secure participation of the next generation! Involve regional media in innovation strategies! Source: Prof. Kunzmann, University of Dortmund

20. 5. Theses for the Discussion on Regional Policy Few Lisbon Regions generate the major share of achievements in the Lisbon Process! (Employment, Expenditures in R&D…) For further advancement, also the Lisbon Regions need EC-level support to solve their specific problems and to overcome restraints: - In the field of infrastructure, - In the field of innovation, cluster-development and networking. We suggest programs and projects in expedient and well-defined fields of co-operation between Lisbon Regions and less developed regions (e.g. biomass-driven Fuel Cells in agricultural regions)

21. Vision without Action is a Daydream…. Action without Vision is a Nightmare…. Japanese Proverb - Anon

22. Thank you for your kind attention! Veit Haug, Director Wirtschaftsförderung Region Stuttgart GmbH