Business and the EU The phrase Small and Medium-sized Enterprises (SMES) 1 is an intrinsic part of our 2011 vocabulary.
the official 2003 definition of SME will be used http://ec. europa. eu/enterprise/policies/sme/facts-figures-analysis/sme-definition/index en. htm 2. 1
whether you are an enterprise. According the European commission's definition any entity engaged in an economic activity,
irrespective of its legal form is considered an enterprise. In other words, even if you are self-employed without any staff,
you may call yourself an enterprise. The second, and arguably most important step towards determining
whether you are an SME is to verify your thresholds. The three main criteria for this are:
If you are an enterprise with no more than 250 employees, an annual turnover below € 50 million or a balance sheet total below € 43 million,
Enterprise Category Head count Turnover or Balance sheet Total medium-sized<250<€ 50 million<€ 43 million small<50<€ 10 million
offering the balance sheet total as an alternative criterion levels the playing field for SMES engaging in different economic activities.
http://ec. europa. eu/enterprise/policies/sme/files/sme definition/sme user guide en. pdf 2. 2 Why is this relevant?
It has not always been evident that the European union recognised SMES as being a category of businesses, different from large enterprises.
As the European union further developed and economic integration intensified, the notion of SMES as a separate class of enterprises started to develop, notably in the 1990s.
For this reason, the EU started creating legislation that is aimed specifically at small and medium-sized enterprises.
as well as the Member States and institutions such as the European Investment Bank and the European Investment Fund, consistency in policies aimed at SMES is ensured.
the financial crisis has made it painfully clear that SMES are the engine of the European economy
and given the opportunity to thrive, in order to stabilise the European economy. Although recognition of the importance of SMES can be seen as a step in the right direction
a further step is needed in order to facilitate most of your businesses as the overwhelming majority of you do not run medium-sized businesses, not even small businesses but micro-businesses.
http://ec. europa. eu/enterprise/policies/sme/small-business-act/think-small-first/Source: Eurostat-European Business:
micro-entities are also the most vulnerable kind of enterprise, notably in terms of size and resources. An obligation on a business, stemming from EU legislation can be perfectly manageable for a company of 200 employees,
how to make use of the opportunities that are available to you. How to make your business benefit from the EU 12 13 14 15 3. 1 EU 2020 Strategy Made Simple Since 2008,
the European union faces the phenomenon of economic crisis within its Member States. The crisis is global
3%of the EU's GDP should go to investments in R&d. 3. Climate/Energy, the 20/20/20 targets in the fields of climate and energy have to be met.
and will encourage entrepreneurship. Furthermore, elements that hinder the proper functioning of the Single Market such as difficulties in cross-border activity
The European commission ensures that SMES have the same share in competition by fining large companies that do not obey EU rules. 3. 2 Single Market Act Made Simple The Internal Market has been at the heart of the European project since its origin.
the free movement of people, goods, services and capital. The Commission regularly updates its Single Market strategy
In a new communication document, the Commission has targeted twelve priority instruments for the Single Market.
Access to Finance for SMES The Commission wants to make venture capital funds accessible to SMES providing them with more expertise
Public Procurement Public Procurement is the purchase of goods, work or services by a government or a public agency.
cheaper and simpler procedure for protecting intellectual property rights and ensure a fair return on investment for your business.
and to bring social progress, employment and a positive outcome for the environment. Indeed, the Single Market can offer many advantages for your business.
and Jobs Agenda'goals to make the EU the most dynamic and competitive knowledge-based economy in the world by 2010.
and recommendations to the Member States. 1. Create an environment in which entrepreneurs and family businesses can thrive
and entrepreneurship is rewarded. The entrepreneurial spirit in the EU, with only 45%of people that would want to be self-employed,
business transfers and entrepreneurship programmes to encourage people to take the step to an own business. 2. Ensure that honest entrepreneurs who have faced bankruptcy quickly get a second chance.
the Commission wants to facilitate the communication between SMES and their Governments thereby saving the SMES'time
SMES face a competitive disadvantage compared to larger companies in the participation in public procurement due to the difficult application procedures, a lack of awareness and the greater risk of investment in SMES.
shortened procedures and more transparency and communication towards SMES. 6. Facilitate SMES'access to finance
and develop a legal and business environment supportive to timely payments in commercial transactions. Different finance programmes and tackling of late payments to SMES should increase the capital availability of SMES
and consequently enhance their competitiveness. 7. Help SMES to benefit more from the opportunities offered by the Single Market.
Measures such as information provision on business opportunities and applicable rules in other countries as well as a more efficient patent system and the development of standards should stimulate SMES to trade cross-border. 8. Promote the upgrading of skills in SMES
and innovation. 9. Enable SMES to turn environmental challenges into opportunities. The demand for environmentally friendly products and services opens the way for new business opportunities.
The Commission therefore supports eco-efficient businesses and products. 10. Encourage and support SMES to benefit from the growth of markets.
The awareness of opportunities of EU-external trade is advocated by the Commission in order to overcome the dissuasive stance of SMES.
Directive on reduced VAT rates for labour-intensive services Revision of the-already existing-Late Payments Directive 20 21 In February 2011, the European commission presented its Small Business Act Review.
In addition the revised policy framework had to serve as an answer to the new challenges SMES had to deal with resulting from the economic crisis.
A working point that was decided upon was improving the actual implementation of the principles and stimulating stakeholders'contributions in the process.
Besides, the Commission stressed its awareness of large differences even within the small and medium enterprises and consequently their diverse need of approach.
A simplified environment for EU funding for SMES was aimed also by reconsidering its financial programmes,
and a single set of rules regarding a Common Consolidated Corporate Tax base should facilitate it in the future for SMES to trade cross-border. 4. Promotion of entrepreneurship,
which most micro-enterprises simply lack the resources. And even if a small business is capable of participating in a tendering process
The‘Competitiveness and Innovation Framework Programme'as well as the‘Seventh Framework Programme'both serve the Lisbon Strategy goals and support Europe's competition and innovation capacity.
and other services provided. The‘Competitiveness and Innovation Framework Programme',primarily directed towards SMES, targets four goals;(
1) encouraging the competitiveness of European enterprises,(2) supporting innovation and entrepreneurship activities,(3) providing access to finance and (4) promoting the increased use of renewable energies and energy efficiency.
The CIP is divided into three operational programmes. http://ec. europa. eu/cip/4. 1. 1 Entrepreneurship
and Innovation Programme (EIP) The Entrepreneurship and Innovation Programme is of particular interest in your search for funding.
A budget of 1. 1 billion euro is allocated to the programme with the specific aim of facilitating access to finance for SMES and for investment in innovative activities.
The European commission entrusts the CIP funds to the European Investment Fund (EIF. The EIF, a first link in the risk-sharing chain, shares some of the risk with financial intermediaries in the participating countries.
or can cooperate with other financial institutions. http://ec. europa. eu/cip/eip/index en. htm Under the Entrepreneurship and Innovation Programme,
A) The High Growth and Innovative SME Facility The ambition of the High Growth and Innovative SME Facility is to improve access to finance for the start-up and growth of SMES and for the investment in innovation,
which provide venture capital for SME financing. The facility covers investment into venture capital funds which have an early stage focus (GIF1)
and funds with a focus on SMES with high growth potential in their expansion stage (GIF2).
In particular, GIF1 provides seed capital which means financing provided to study, assess and develop an initial concept.
Moreover, start capital is made available under GIF1. This is capital provided for product development and initial marketing of start-up companies or companies that yet exist
but nonetheless still have to launch their product or service commercially. For GIF2, the EIF invests in specialised risk capital funds
which in turn provide equity (the share capital of a company) to innovative SMES that are in their expansion stage. www. access2finance. eu/en/Attachments/List of deals 23 12 2010. pdf. 26 27 (B). SME Guarantee Facility
A high risk of lending to SMES can emerge from the uncertainty of their investments in certain knowledge-related activities,
and they focus on investment financing. Microcredit guarantees help financial institutions to provide financing to micro enterprises, especially start-ups.
Equity and quasi-equity guarantees warrant investments in SMES in the seed and start-up phases.
Equity and quasi-equity guarantees aim to help SMES to improve their financial structure. Securitisation which means that the EIF provides guarantees to unrated
ICT Policy Support Programme (ICT-PSP) The Information Communication Technologies Policy Support Programme provides EU funding to support the realisation of the Digital Agenda for Europe.
and interoperable ICT based services. http://ec. europa. eu/information society/activities/ict psp/participating/index en. htm http://ec. europa. eu/information society/activities
and the participation of experienced researchers. http://cordis. europa. eu/fp7/people/industry-academia en. html 2. Marie Curie Initial Training Networks (ITN) offers the opportunity
1. Help for SMES and SME associations for outsourcing their research activities to providers of research services i e. universities or research centres.
Under the Convergence objective, it co-finances activities in the areas of research and technological development, innovation and entrepreneurship, information society and more. http://ec. europa. eu/regional policy/funds/feder
There are two funding opportunities under this objective. A. European Regional Development Fund (ERDF) It focuses on the fields of innovation and knowledge-based economy,
environment and risk prevention and access to transport and telecommunications services of general economic interest. http://ec. europa. eu/regional policy/thefunds/regional/index en. cfm#http
://ec. europa. eu/regional policy/policy/region/index en. htm http://ec. europa. eu/regional policy/atlas2007/index en. htm 32 33 B. European
Social Fund (ESF) ESF under the Regional Competitiveness and Employment Objective supports the adaption of enterprises and workers through lifelong learning as well as innovation within organisations.
and to boost entrepreneurship, innovation and share of experience. Funding is provided through participants (beneficiaries) in specific programs and projects.
http://ec. europa. eu/agriculture/contact/index. htm Joint European Resources for Micro and Medium Enterprises-JEREMIE The JEREMIE initiative is developed in coordination with the European commission and falls under the umbrella of the European
Investment Fund. Its aim is to improve access to finance for SMES. Regional/national authorities have the ability to finance SMES through the use of EU Structural Funds.
This can be done via the means of loans/guarantees, equity, venture capital, Business Angel Matching funds and investments in Technology Transfer Funds under the umbrella of a Holding Fund.
http://www. eif. europa. eu/what we do/jeremie/External offices/index. htm There is also the opportunity of subscribing
Its initial capital rises up to 50 million euros. It is financed by the EIB and potential partner banks.
On September 2009 micro-credit providers had the opportunity for the first time to express their interest for technical assistance.
even though it is dedicated to a civilian purpose and aims at developing only new products, processes or services.
SMES have the opportunity to participate in funded projects through an annual call for proposals. The proposals are published by the Education, Audiovisual and Culture Executive agency (EACEA.
The European commission co-funds travel and accommodation expenses of new or would-be entrepreneurs who wish to gain know-how about SME management as well as of experienced businessmen looking for fresh perspectives and international cooperation opportunities. http
whose responsibility it is to facilitate channels of communication between the Commission and small businesses,
http://ec. europa. eu/enterprise/policies/sme/small-business-act/sme-envoy/national-sme-envoys/index en. htm Other relevant general
the European commission has created an SME Portal focusing on your business'needs. http://ec. europa. eu/small-business/index en. htm Enterprise Europe Network http://www. enterprise-europe
http://www. enterprise-europe-network. ec. europa. eu/about/branches The Enterprise Europe Network brings together 580 business organisations from 49 countries.
advice and services such as job matching of job seekers and employers. European Business and Innovation Centre Network (EBN) http://www. ebn. be This is a nongovernmental, pan-European network of more than 200 Business and Innovation Centres and similar organisations.
European E-business Support Network Portal (ebsn) http://ec. europa. eu/enterprise/sectors/ict/ebsn/index en. htm ebsn is established a network by the Commission
The overall aim is to boost competitiveness of the EU economy. FP7 National Contact points (NCPS) http://cordis. europa. eu/fp7/ncp en. html The National Contact Points are established by the 27 Member States as well as the associated states
CEN-CENELEC SME Helpdesk http://www. cen. eu/cen/Services/SMEHELPDESK/Pages/default. aspx These helpdesks at European and national level are specialised in providing
EU information and assistance services http://ec. europa. eu/publications/booklets/others/83/index en. htm On this website you can find booklets issued by the Commission answering questions you may have both
It offers aggregation of the shared information that relates to all the three projects concerning public communication, press releases and workshops,
and/or successfully run a small or medium-sized enterprise in Europe. New entrepreneurs exchange knowledge and business ideas with experienced business men and women, guaranteeing a valuable experience.
Eco-innovation National Contact Points http://ec. europa. eu/environment/eco-innovation/contact/national-contact/index en. htm These NCPS will assist your business to apply for funding
and opportunities the EU creates for their businesses, leaving many opportunities unused. We hope that this publication has helped you in gaining a clearer perspective of the main small business aspects of the EU operations
therefore constantly looking to improve their communication strategy towards small businesses in order to maximise your knowledge of
30 CHAPTER 5 Opportunities for Future Growth 36 CHAPTER 6 Strateg y Implementation 48 CHAPTER 7 Monitoring and Evaluation 52 APPENDIX 1
Stakeholder Engagement 54 APPENDIX 2 National, Regional and Local Level Strengths 55 List of Tables & Figures Table 2. 1 Europe 2020 Headline
Targets & Targets set out in the National Reform Programme 15 Table 3. 1%Breakdown of Enterprises & Employees in the Midwest Region 21 Table 3 2 Midwest Employment by
of Innovation Vouchers 2007-2013 24 Figure 3. 3 Regional take-up of Innovation Partnerships 2008-2013 25 Figure 4. 1 Existing Enterprise
and entrepreneurship and to achieve higher levels of employment right across Europe. Ireland is embracing a new chapter in its development;
Ireland remains one of the most globalised economies in the world; although a small nation we are placed well to compete with larger economies around the globe.
However, as a globalised economy we know that we need to continuously adapt and be creative to meet consumer demands and the needs of industry.
Innovation drives economic growth and is critical to our future prosperity. The development of this Strategy at a regional level is opportune as it will take advantage of the reform of both regional and local government.
With this in mind this Strategy seeks to ensure that R&i becomes a priority at both a regional and local level
and that this prioritisation occurs in the context of local authorities being devolved statutory powers for economic development.
Oliver Garry Cathaoirleach of the Midwest Regional Authority 4 Executive Summary Introduction Research and innovation (R&i) are the cornerstones of national and regional economic growth.
and opportunities in the Midwest and lays the foundations for strong and focused collaborative research and innovation activity in the Region.
which is intended to inform future investment and development and ensure that maximum regional benefits are obtained from future R&i developments.
This strategy embodies a holistic approach aimed at bringing all the R&i stakeholders together to create a truly innovative region that can compete globally.
To support the move towards an Open Innovation1 environment where businesses and researchers interact more freely,
To create and further improve communication mechanisms between public support agencies, academia, industry, entrepreneurs and civil society on key information pertaining to the achievement of a culture of innovation.
Policy Context Both policy development and funding opportunities at European and National levels are focused increasingly on research,
innovation and smart specialisation as a means of achieving a robust and dynamic economy. Investing in research, innovation and entrepreneurship is at the heart of the Europe 2020 Strategy
and funding is increasingly being directed towards boosting growth and creating jobs through greater competitiveness. Much of the EU funding is now contingent upon compliance with a precondition called‘Smart Specialisation/RIS3'for supporting investments (ex-ante conditionality.
This ex-ante conditionality requires 5 Research & Innovation Strategy for the Midwest Region of Ireland 2014-2018 1 Open Innovation 2. 0 The Dublin Declaration,
competitive advantage and potential for excellence and will focus policy supports and investment on key national/regional priorities.
In Ireland, the Department of Jobs, Enterprise & Innovation/Forfás have prepared a National Smart Specialisation Strategy
Agencies such as Enterprise Ireland, IDA Ireland and Chambers Ireland provide invaluable business and innovation support.
the Hartnett Enterprise & Acceleration Centre, Community Enterprise Centres and Enterprise Ireland/IDA Technology Centres providing extensive services in the Region.
Smart Specialisation Support for Entrepreneurs & Innovators Open Innovation Culture Cluster Development Midwest Region Research & Innovation Strategy 6 Opportunities for Future Growth The research
In order to achieve the vision for the Region a series of key areas where there are opportunities to capitalise on the research
and innovation landscape and to the growth of the regional and national economy. Smart Specialisation Smart specialisation is a strategic approach based on more effective spending of public resources,
Smart specialisation focuses investment and supports on these identifi ed regional strengths thus ensuring value for money in times of tighter budgets and scarce public resources while at the same time supporting the creation of knowledge-based
The following sectors have been identifi ed in this Strategy as most likely to benefi t from smart specialisation policies and investment in the Midwest:
ICT/Electronic Manufacturing Medical Technologies Logistics and Supply Chain Management Energy and Environmental Products and Services This Strategy sets out a series of actions relating to required future research,
collaboration with key stakeholders to identify and remove barriers to development and monitoring to evaluate the impacts of investments. 7 Research
& Innovation Strategy for the Midwest Region of Ireland 2014-2018 Cluster Development Cluster development involves identifying the Region's core competence
Under this approach a company/innovator/Higher education Institute will work with external partners on new ideas to generate new business opportunities The adoption of an open innovation approach between companies,
cluster development and open innovation all have the potential to make a signifi cant contribution to economic growth in the Midwest.
This Strategy sets out a series of support structures that are necessary to encourage innovation and entrepreneurship such as knowledge transfer, technology transfer, investment forums,
which may prevent businesses from accessing existing supports and services. 8 Implementation & Monitoring This Strategy sets out a clear process for implementation and monitoring.
Limerick Economic Forum, the existing business support agencies, local authorities, Local Enterprise Offi ces and Chambers of Commerce all have an important role to play in the implementation of this Strategy.
entrepreneurs and existing businesses to develop new opportunities, making the Region a European and world leader in terms of R&i capacity and performance.
Ireland is one of the most globalised economies in the world and is ranked first globally as the best country in
which to do business 10 Chapter 01 1. 0 Introduction Ireland is one of the most globalised economies in the world2
These rankings reaffirm Ireland's pro-business environment and highly educated workforce which is the youngest in the EU (Eurostat.
The scoreboard bases the assessment on indicators such as firm investments, finance & support, intellectual assets and outputs and employment in knowledge-intensive activities5.
and firm investments. Furthermore, the IMD World Competitiveness Yearbook 2014 puts Ireland at number 15 in an overall global competitiveness ranking and Ireland achieved top ranking position in:
Availability of skilled Labour flexibility and adaptability of workforce Attitudes to globalisation Investment incentives These global and European rankings present a snapshot of the current economic and social climate
The EU has recommended also the preparation of national/regional smart specialisation strategies (RIS3 strategies) that will build on each country's strengths and focus policy supports and investment on key national/regional priorities.
In Ireland, the Department of Jobs, Enterprise & Innovation (DJEI)/ Forfás have prepared a National Smart Specialisation Strategy.
and this Strategy represents an opportunity to rejuvenate the regional research and innovation sectors for the benefit of the local,
regional and national economy. 11 Research & Innovation Strategy for the Midwest Region of Ireland 2014-2018 2 Ernst & young Globalisation Index 3 Forbes 2013 4
and opportunities in the Midwest and will lay the foundations for strong and focused research and innovation activity in the Region.
Research and Innovation (R&i) already plays a strong role in the progression of economic growth in the Midwest.
which will inform future investment and development and will ensure that maximum regional benefits are obtained from future R&i developments.
This strategy embodies a holistic approach aimed at bringing all the R&i stakeholders together to create a truly innovative region that can compete globally. 1. 1 Purpose
and to work with all relevant stakeholders to present a shared vision for the Region in terms of its research and innovation priorities up to 2018.
This Strategy identifies unique opportunities for development and growth, based on the assets and capabilities of the region. 1. 1. 3 Objectives of the Strategy The overall aims of the Strategy will be achieved through the implementation of a number of key objectives, namely:
To support the move towards an Open Innovation6 environment, where businesses and researchers interact more freely,
To create and further improve communication mechanisms between public support agencies, academia, industry, entrepreneurs and civil society on key information pertaining to the achievement of a culture of innovation. 1. 2 Conclusion This Strategy has been prepared
It promotes diversifi cation of the knowledge-based economy into technologies, products and services that are related closely,
thereby ensuring maximum benefi t from future investments in the Region. Research, innovation & smart specialisation are recognised widely to be central elements in the creation of a robust
and dynamic economy 14 2. 1 European Policy Context 2. 1. 1 Europe 2020 The Europe 2020 Strategy aims to confront Europe's structural weaknesses through the progression of three
mutually reinforcing priorities: Smart growth, based on knowledge and innovation; Sustainable growth, promoting a more resource-efficient, greener and competitive economy;
Inclusive growth, fostering a high-employment economy and delivering economic, social and territorial cohesion. Investing in research, innovation and entrepreneurship is at the heart of Europe 2020 and a crucial part of Europe's response to the economic crisis.
It is considered also to be of vital importance to have a strategic and integrated approach to innovation that maximises European, national and regional research and innovation potential.
As part of the Europe 2020 Strategy, the European commission has adopted the‘Innovation Union'flagship initiative. It sets out a comprehensive innovation strategy to enhance Europe's capacity to deliver smart
Ireland will have access to funding under a number of European Structural Investment (ESI) funds such as the European Regional Development Fund (ERDF
competitive advantage and potential for excellence and will focus policy supports and investment on key national/regional priorities. 2. 0 Introduction In order for the EU,
Ireland and the Midwest Region to enter into a period of strong and sustained economic growth,
and investment decisions are focused on emerging global growth areas. Research innovation and smart specialisation are recognised widely to be central elements in the creation of a robust and dynamic economy.
Both policy development and funding opportunities at a European and a National level are focused increasingly on these development areas
and it is essential that the Midwest Region capitalises on the opportunities that are presented by these high level policies and funding streams.
Policy Context Chapter 02 15 Research & Innovation Strategy for the Midwest Region of Ireland 2014-2018 2. 1. 3 EU Cohesion Policy 2014
-2020 The EU Cohesion Policy will be the EU's principal investment tool for delivering the goals of Europe 2020.
cities and the real economy, which is over 36%of the total Multi-Annual Financial Framework.
Progression will be assisted by the targeted investment of the European Regional Development Fund (ERDF) in key priorities such as support for small and medium-sized enterprises. 7 2. 1. 4 HORIZON
Horizon 2020 is a means to drive economic growth and create jobs through investment in research.
The goal is to ensure Europe produces world-class science, removes barriers to innovation and makes it easier for the public and private sectors to work together in delivering innovation. 2. 1. 5 COSME COSME is the EU programme for the Competitiveness of Enterprises and Small and Medium-sized Enterprises (SMES
) in the period 2014 to 20208. COSME has a total budget of approximately €2. 3 billion
commitments under the Department of Jobs, Enterprise and Innovation (DJEI) Action Plans for Jobs 2012-2014 have identified the need to target areas that are most likely to create economic value and jobs.
and to remove the barriers to employment creation across the economy. The Action Plan for Jobs 2014 identifies building competitive advantage through innovation as a key priority for stimulating The irish economy over the next five years. 2. 2. 3 Forfás
Innovation Networks Report 2004 The Forfás Innovation Networks Report highlights the importance of strong network development.
and identifies regional strengths, priorities and opportunities. The Research Prioritisation Report identifies a number of priority areas around
which future investment in publicly-performed research should be based. The report informs the National Smart Specialisation Strategy/RIS3
have been taken into consideration in the preparation of this Strategy. 7 http://europa. eu/rapid/press-release memo-13-1011 en. htm 8 http://ec. europa. eu/enterprise/initiatives
and to concentrate on those sectors of economic activity where, for reasons of location, infrastructure or natural resources,
and Limerick City as its capital, will realise its potential as a gateway region both nationally and internationally.
MWASP sets out an economic strategy for the Region which sets out recommendations in 10 key areas that are considered to be critical to the development of enterprise
and economy in the region (Figure 2. 1) 6. Enhance skills & education 7. Tackle growingunemployment 2. Address the governance structure
and support the enterprise, innovation and R&d environment 1. Regional overarching organisation (a catalyst/vehicle for change) Figure 2. 1 Areas in
which Economic Recommendations Are focused Midwest Area Strategic Plan 2012-2030 18 2. 3. 3 Limerick 2030 Economic & Spatial Strategy Limerick 2030 is an economic
From an economic growth perspective the aim is to ensure that the City and County focus on market sectors where a competitive edge exists,
maximising the amount of foreign direct investment secured, supporting innovation, enterprise and start-ups, and developing and diversifying the skills and knowledge of the population.
national and regional level which aim to promote economic growth through research and innovation investment and growth are testament to the importance of R&i development to our national and regional economic future.
Europe 2020 EU Multiannul Financial Framework EU Cohesion Policy 2014-2020 Horizon 2020 COSME European Level National Action Plan for Jobs
and targeted fi nancial investment, with funding becoming increasingly dependent on evidence-based strategies that demonstrate the strengths of a region
and villages supporting the regional economy. These strong national-level designations illustrate the current strength and future development potential of the Midwest Region.
and enterprise activity and to expand the employment base in the Midwest Region. 3. 1 Infrastructural Connectivity The Midwest Region has global trading links and excellent connectivity to international markets via Shannon International airport
Waterford and Dublin. 3. 2 Enterprise Activities in the Midwest Region Figures from the CSO (2011) Business Demography highlight that the number of active enterprises in the Midwest Region is approximately 18,150, with a breakdown
Limerick accounts for the largest number of active enterprises at 7, 156. Figures indicate that SMES comprise 99.8%of the total active enterprises in the Region
and account for over 80%of the total people employed by enterprises. Large enterprises(>250 employees) account for less than 1%of the total active enterprises;
however, they account for 20%of total employees in enterprises. Large enterprises and foreign direct investment (FDI) are both a significant economic contributor and employer in the Midwest Region. 21 Research & Innovation Strategy for the Midwest Region of Ireland
2014-2018 11 Limerick/Shannon Gateway and Ennis Hub as identified in the National Spatial Strategy & Midwest Regional Planning Guidelines 12 Source:
Higher education Authority<12 10-49 50-249 250+%Breakdown of Enterprises & Employees 0%20%40%60%80%100%Enterprises Employees Table
3. 1%Breakdown of Enterprises & Employees in the Midwest Region Source: CSO Business Demography 2011 & MWRA Analysis CSO figures from Q1 2012 indicate that industry was the largest employer in the Midwest Region,
employing 16%of the total workforce, with a further 14%employed in the wholesale and retail sector.
The public sector (PAD, health and education combined) employed approximately 36,000 persons, accounting for almost 25%of the total workforce.
while the FDI sector is of vital importance to the growth of exports and high-end employment, the economy of the Region
and services that have been produced, less the cost of all inputs and raw materials that are directly attributable to that production.
as productivity will be a key driver of future economic growth. BORDER DUBLIN MIDEAST SOUTHWEST MIDWEST SOUTHEAST WEST MIDLAND 9, 109m 6. 5%11, 381m 8. 1%59, 387m 42.1%5
In comparison to other rural regions the Midwest is improving its retention ability by matching both undergraduate and postgraduate courses with market demand.
which is a significant resource in the progression of regional research and innovation. 3. 5 Current level of innovation in the Midwest Region National and regional investment in research,
and a significant level of investment has been made in the Region in recent years, albeit at a lower level than that of our regional and European counterparts.
A number of performance indicators for the Midwest Region in terms of research, development and innovation have been examined to establish the current level of investment
and growth. 3. 5. 1 Innovation Vouchers Enterprise Ireland's Innovation Voucher initiative was developed to build links between Ireland's public knowledge providers (i e.
Innovation Vouchers are available to assist a company to explore a business opportunity or problem with a registered knowledge provider.
Partnership Programme, coordinated by Enterprise Ireland can provide up to 80%of the cost of research work to develop new and improved products, processes or services,
or generate new knowledge and know-how. Grants are available for collaborative projects between companies and research teams within Higher education Institutes. 25 Research
& Innovation Strategy for the Midwest Region of Ireland 2014-2018 15 Figure 3. 3 illustrates the number of companies in the Region than participated in the Programme rather than the amount of investment made in the Region due to the implementation
Co. Limerick, is currently working with UCD Lyons Estate farm on an Innovation Partnership programme jointly funded by Samco and Enterprise Ireland.
Dublin Southwest West Midwest Other Total Software & Services 38 7 2 2 8 57 Industrial & Life sciences 12 2 1 4
Of high Potential Start ups per Region 2012 (Source Enterprise Ireland) Enterprise Ireland's Competitive Start Funds provide young companies with vital early stage funding to test the market for their products and ideas,
while New Frontiers is Enterprise Ireland's national entrepreneur development programme for innovative, early-stage start-ups.
The BERD of Enterprise Ireland supported companies indicate the Midwest Region performs lower than some of its regional counterparts.
There is significant capacity for greater numbers of businesses to avail of research funding opportunities that are currently available.
the figures outlined in Table 3. 5 indicate the investments made by Enterprise Ireland companies. 27 Research
Benefi ts of participation in EU Projects Tyndall National Institute was established in 2004 under a formal agreement between University college Cork and the Minister for Enterprise, Trade and Innovation.
Physics, and Engineering with 200 industry partnerships and customers globally and approximately 30 researchers in residence from some of these companies.
and SMES for European funding opportunities including Horizon 2020. This is a collaborative approach whereby Tyndall is the coordinating mechanism for industry participation on a variety of EU programmes and other funding opportunities.
This approach supports the building of relationships within this sector, through enhanced collaboration and partnership on projects. 3. 6 Conclusion Industry development and expansion is a continually evolving process
and the facilitation of this evolution is central to sustainable economic growth in any region. Research and Innovation are core components
and expanded in order to enable economic growth in the Midwest Region. The evidence available indicates that there are strong R&i structures in the Region at present, with a skilled workforce and a range of support options.
and research services required by the UL Graduate Medical school. The newly established Synthesis & Solid State Pharmaceutical Centre (SSPC) based at UL will position Ireland as a global hub for the pharmaceutical industry.
This base is a significant asset in terms to the potential for future economic growth and the progression of employment-related development in the Region.
Additionally, the national enterprise and innovation support agencies, such as Enterprise Ireland, IDA and the Local Enterprise Offices, provide a wide range of services which help to promote a culture of innovation in the Midwest. 31 Research
& Innovation Strategy for the Midwest Region of Ireland 2014-2018 4. 1. 2 Limerick Institute of technology (LIT) Research Strengths R&i is a strategic focus at Limerick Institute of technology.
The Foods Development Centre brings together a multidisciplinary team of researchers with commercial specialists so as to provide a centre of excellence in food research, capable of food development and innovation to the benefit of the Regional and National economy;
They will offer a high quality and better-integrated set of services to students businesses and communities.
The Consortium liaises with other educational 32 stakeholders in the Region such as the Education and Training Boards and adult learning providers to ensure a coherent and focused approach to advancing the social and economic goals of the Region,
and the Tralee-Killarney Hubs. 4. 2. 3 Technology Gateway Programme Enterprise Ireland's Technology Gateway Programme has established a nationwide network of 12 industry-focused Gateways
and technology solutions which are industry-relevant. 4. 2. 4 Enterprise Ireland/IDA Technology Centres The current Programme for Government has highlighted the importance of introducing companies to the research expertise in Higher education Institutes
The centres are a joint initiative between Enterprise Ireland and IDA Ireland which allows Irish companies
Collaboration between Industry and Higher education Institutes The Enterprise Research Centre in the University of Limerick has worked in collaboration with industry on a number of research initiatives.
and is of particular importance in securing new contracts and procurement opportunities. While there are extensive linkages in the Region at present
500 tenders) which provide the single biggest opportunity for SMES. A recent study has highlighted that 75%of all Irish public sector tenders are won by companies in Leinster.
if they had more market intelligence around opportunities. With growing public procurement opportunities in Europe and globally
Ireland is a low-level participant in this area. Less than 2%of Irish companies have won successfully European tenders since 200317.
www. tenderscout. com 18 Enterprise Ireland and The National Association of Community Enterprise Centres Report 2014 entitled‘Growth through Procurement'Enterprise Ireland has increased funding towards developing
& Organisations National enterprise and innovation support agencies make a significant contribution to research and innovation in the Midwest Region.
and to contribute to the regional and national economy. 4. 4. 1 Enterprise Ireland (EI) Enterprise Ireland is the government organisation responsible for the development and growth of Irish enterprises in world markets.
They work in partnership with enterprises to help them to start, grow, innovate and win export sales on global markets.
Through the provision of funding, training & support, infrastructure & accommodation and the development of linkages and networks, EI support sustainable economic growth, regional development and secure employment. 4. 4. 2
Industrial Development Agency (IDA) The IDA is responsible for the attraction and development of foreign investment in Ireland.
and research and development capabilities are in place. 4. 4. 3 Science Foundation Ireland (SFI) SFI is the national foundation for investment in scientific and engineering research.
and research teams who are most likely to generate new knowledge, leadingedge technologies and competitive enterprises in the fields of science, technology,
engineering and maths. 4. 4. 4 Local Enterprise Offices (LEOS) Reform of the local authority system across Ireland has allowed local government to play a stronger role in promoting economic development as a statutory function.
This is due to the economic impact of its functions generally, its links with enterprise, its local knowledge and leadership, economic initiatives and its local development and enterprise functions.
and have combined the resources of the former City/County Enterprise Boards with the local authority business support units.
They deliver services and supports to micro and small business sectors on behalf of Enterprise Ireland. 4. 4. 5 Chambers Ireland Chambers Ireland is a national business representative organisation with a Midwest network
of offices in Limerick, Shannon, Ennis, Roscrea, and Thurles. They provide support and work to create an improved business environment for both new and existing businesses.
They also provide employee training and up-skilling space and information for businesses on the state supports and services that are available to them.
Regionally they work to provide networking opportunities and business information events and they also work with key influencers
and decision-makers on behalf of their members on issues that are impacting on their businesses. 34 4. 5 Midwest Regional Innovation Network
In addition to the research and innovation supports and services currently offered by the Higher education Institutes and State Agencies in the Region, there is also an extensive network of innovation centres
and ongoing support for small to medium enterprises (SMES). Examples of the range of supports provided within this network include NEXUS a‘community supportive'environment for graduates who require support to start their own business;
the Hartnett Enterprise and Acceleration Centre (HEAC) an on-campus incubator for innovation and growth driven business start-ups in the Midwest Region;
the National Franchise Centre (NFC) a centre of excellence in Ireland for capturing the successful framework
the Croom, Thurles and Newcastle West Community Enterprise Centres which are operated/work closely with LIT in the establishment and growth of new enterprises.
Community Enterprise Centres (CEC) are of particular importance, with recent studies showing that they have created over 9,
Existing Enterprise Support Centres in the Midwest Region Case study: Collaboration between Industry and Higher education Institutes The Croom Community Enterprise Centre opened in May 2013
and offers 17 fl exible units, 3 meeting rooms and 1 training room to cater for the needs of small and medium businesses and start-ups across a variety of sectors.
The Centre has partnered with Limerick Institute of technology through the Enterprise Ladder Programme to host training programmes
The centre provides traditional offi ce rental, personalised reception services, virtual offi ce support, administration support and many other tailored business solutions to support start-up companies. 4. 6 Conclusions As outlined in this Chapter,
This Strategy aims to build on the existing R&i structures in the Region for the benefi t of the wider economy.
Cluster development and an open innovation environment have proven to be highly successful approaches in other regions and,
and to keep abreast of international trends 36 Opportunities for Future Growth Chapter 05 5. 0 Introduction The profile of the Region that has been set out in earlier sections of this Strategy has provided a baseline regarding the current research and innovation
In order to achieve the vision for the Midwest Region a series of key areas where there are opportunities to capitalise on the research
and innovation landscape and to the growth of the regional and national economy. 5. 1 Smart Specialisation 5. 1. 1
The goal of smart specialisation is to transform regional economies around new knowledge-based activity domains.
Smart specialisation is based on the premise that spreading investment too thinly across several frontier technology fields risks limiting the impact in any one area. 5. 1. 2 Potential Regional Benefits Developing
Smart specialisation focuses investment and supports on identified regional strengths thus ensuring value for money in times of tighter budgets and scarce public resources while at the same time supporting the creation of knowledge-based jobs
products and services that are closely related to existing dominant technologies and the regional skills base.
Through the prioritisation of complementarity between related economic activities, and fi nding better ways to combine their strengths,
This does not, of course, mean that individual enterprises will be prevented from establishing in specifi c areas
& Supply Chain Management Energy and Environmental Products & Services Figure 5. 1 Identifi ed Industries for Smart Specialisation in the Midwest Region 5. 1. 3
which it would be most benefi cial to focus investment in the coming years. Based upon:
and investment in the Midwest. 38 5. 1. 4 Actions Required to Progress Smart Specialisation
and investment the following actions are recommended: To carry out further detailed analysis of the identified industries to establish their research needs, their potential for innovation,
To work in coordination with key stakeholders in the Region e g. local authorities, Higher education Institutes and business support agencies such as Enterprise Ireland to ensure that funding is focused on removing the identified barriers to development;
To monitor the impact of analysis and investment, particularly in the areas of employment, productivity, the commercialisation of research outputs and the establishment of new related industries,
in order to establish the impacts of the investments made. 5. 2 Cluster Development 5. 2. 1
which investment and development should be focused. Clustering is the next stage in the process, identifying the Region's core competences
activities that Cluster result in innovative effects Management Services Table 5. 1 Types of Business Collaboration It is important to differentiate between smart specialisation and the development of a cluster.
Smart specialisation focuses on specifi c innovation-intensive sectors whereas clusters apply to a broader set of sectors/actors in the economy.
Research conducted in Sweden indicates that it is beneficial for new firms to be in an environment where there are a lot of other firms in the same sector.
Additionally, there is a requirement for policies to ensure the creation of the type of environment that companies need
Good facilitation is required for collaborative opportunities to be identifi ed. Initially companies will be working in isolation
so that the benefi ts of investment can be demonstrated. Company investment in the cluster is one of the key indicators of the success of any cluster initiative.
Also, in order to be considered successful there must be benefi ts for the wider region and not just for the companies directly involved in the cluster. 42 5. 2. 4 Actions Required to Progress Cluster Development in the Midwest There are significant potential regional benefits of cluster development.
To secure public funding to engage a Cluster Facilitator to identify regional opportunities for collaboration
Cluster Development Energy Cork is driven an industry cluster pursuing coordinated actions to strengthen enterprise and employment within the energy sector in the Cork region.
Energy Cork was conceived by Cork Chamber with a view to building on the unique opportunities for the region to secure competitive advantage in the energy sector.
In a global age of increased competition and more individualised customer demands, constant innovation is needed for businesses to grow
Under this approach a company will work with external partners on new ideas to generate new business opportunities.
It offers the opportunity for businesses to identify and exploit complementary capability. The adoption of an open innovation approach between companies, academia and innovators in a region can assist businesses to:
funding agencies and business owners/entrepreneurs to encourage interaction and communications between the relevant parties;
At a national level, to lobby for a review of all third level courses to consider the inclusion of specific teaching modules on entrepreneurship and open innovation;
To ensure that the Student Enterprise Programme currently undertaken by the Local Enterprise Offices continues to promote a culture of innovation amongst young people in the Region;
To develop the legal and financial competencies within the Region that will facilitate the opportunity to avail of the benefits of Open Innovation approaches;
IP and competition policy to support an open innovation environment for all. Case study: The Creative Dublin Alliance The Creative Dublin Alliance is led by a network the Dublin City CEO, with members drawn from the most senior level in local government, commerce, industry, education, state
agencies and the not-for-profit sector. The purpose of the Creative Dublin Alliance is to develop,
and open innovation all have the potential to make a significant contribution to economic growth in the Midwest.
Given that 99.8%of active enterprises in the region are SMES, support for entrepreneurs and innovators is essential to ensure that this sector evolves
Technology Transfer Technology transfer is based on securing commercial opportunities for researchers and research institutions. The transfer of skills, knowledge, technologies etc. from research or education institutes to a wide range of users promotes scientific and technological development
Investment Forums Investment forums make a valuable contribution to innovation and business growth by providing an opportunity for entrepreneurs
and innovators to pitch their ideas to potential investors. They also provide an opportunity for networking between researchers, entrepreneurs, start-ups and innovative companies, students and investors.
They perform a valuable role in attracting private sector investment to a region but there are currently limited opportunities for businesses
and individuals to present their initiatives to potential investors in the Midwest Region and a formal investment forum is required.
Start-up and Commercialisation Support there are a wide range of agencies in the region providing invaluable support to entrepreneurs and business owners.
Local Enterprise Offices Enterprise Ireland, community-based enterprise centres and centres/programmes such as Nexus, New Frontiers,
LEAP and TESS all provide vital services to support business development in the region. Innovate Limerick Ltd. will also provide essential business
and innovation support in the region. It is important that this level of start-up and commercialisation support continues
in order to help innovators to market their goods and services. Incubator space is also important but must be complemented by business support services to ensure that use of the space is proactively assisting business development
and expansion. 46 Better Communications Good communication and a high level of awareness of the available supports is a key component of the promotion of business development and innovation in a region.
A KPMG commissioned study in 2013-2014 has found that there is a very low level of awareness among companies of options for improving business performance such as collaboration with HEIS on innovation projects.
Increased awareness of the business development supports and options that are available is essential to strong regional growth. 5. 4. 3 Actions Required To further Support Entrepreneurs
& Innovators in the Region In order to support the development of new businesses and innovation and to promote the expansion
providing the opportunity for businesses/innovators to showcase their proposals to potential investors; To work with Innovate Limerick Ltd. to provide incentives to cultivate Limerick as a‘Start-up City';
'To ensure that Local Enterprise Offi ces and other business support agencies provide mentoring and skills training to entrepreneurs to enable them to pitch ideas
and to devise business plans for investors; To encourage collaboration between Local Enterprise Offi ces, Enterprise Ireland and the Offi ce of Government Procurement to provide training to SMES on the public procurement process
and to encourage collaboration and linkages between SMES to enhance their capacity to win tenders;
To increase awareness amongst business-owners and entrepreneurs in the Region about the existing supports and services that are available
and to remove barriers that may be resulting in a low level of take-up of these support options;
and entrepreneurship in the Region 48 Strategy Implementation Chapter 06 6. 0 Introduction Many different types of collaboration and partnerships already exist right across the Research and Innovation spectrum in the Midwest Region,
and commitment to drive innovation and entrepreneurship in the Region. Stakeholder engagement has been the cornerstone of the preparation of this Strategy.
Stakeholders have participated extensively in its design, with the Midwest Regional Authority performing a coordinating role.
Stakeholder involvement will also be the cornerstone of the implementation of this Strategy. At a regional level the Midwest Regional Authority will be incorporated into a new Regional Assembly in the near future with the new Assembly assuming responsibility for planning and participation in EU projects at a regional level.
In light of these new structures it is of particular importance to develop multi stakeholder governance mechanisms
which will help to create and further develop synergies between public support mechanisms, academia and industry.
RPG Implementation Steering committee-new working group Higher education Institutes Business Support Agencies Chambers of Commerce Regional Level Local authorities Local Enterprise Offices Local Economic
business support agencies and Innovate Limerick Ltd. to ensure that opportunities for research, development and innovation are identifi ed and capitalised upon.
It is recommended also that further opportunities for collaboration and knowledge transfer are sought proactively. In this context it is recommended that the opportunities offered by Horizon 2020
and by the Knowledge Alliances and Sector Skills Alliances of the Erasmus+Programmes are investigated particularly.
Enterprise Ireland and IDA Ireland: The wide range of supports available from Enterprise Ireland and IDA Ireland has been highlighted in this Strategy.
It is recommended that these agencies continue to work to raise awareness and increase up-take of the supports that are available to businesses in the Region.
translating research into commercialisation and looking towards innovation activities for new products and services. Going forward, and having regard to revised regional governance structures,
Local Enterprise Offi ces: The Local Enterprise Offi ces have a key role to play in providing supports to entrepreneurs
and existing business owners and also in raising awareness about those supports and increasing the profi le of entrepreneurship as a career path.
It is recommended that the LEOS also work with SMES to support their participation in Horizon 2020 calls and projects.
cluster development and the creation of an open innovation environment and culture. Limerick Economic Forum:
including investment in research and development capacity, technology transfer, up-skilling and re-skilling. The remit of the LECPS will be primarily local in context
As representative bodies for the enterprises in the Region the Chambers of Commerce have a particular role to play in facilitating communication between enterprises
and other stakeholders in the region and in assisting to devise strategies to achieve the desired outcomes. 6. 2 Conclusions As already illustrated the Midwest has signifi cant research
and partnership-building between all the stakeholders in the Region. The recommended actions set out in this Strategy are the building blocks from
bringing benefi ts to all sectors of the regional economy. The proposed new working group of the RPG Implementation Steering committee will provide the governance mechanism necessary to ensure the implementation of this Strategy in the coming years.
funding to Irish-owned enterprises from EU Horizon 2020 Total funding to foreign-owned enterprises from EU Horizon 2020 Total funding to Public sector from EU Horizon
2020 Number and value of claims under R&d tax credit Financial support provided by Enterprise Ireland to enterprises to support applications to EU Horizon 2020 Number of new research-active High Potential
Start-ups Number of indigenous enterprises participating in EU Research Programmes Number of foreign-owned enterprises participating in EU
Research Programmes Number of Innovation Vouchers redeemed Number of companies engaged in research with HEIS via Innovation Partnerships Number of companies involved in Enterprise Ireland/IDA Technology Centres Number
of Phd level graduates Number of patent applications Number of entrepreneurs/start-ups/spin outs supported with capital from private sources in the region through the investor forum.
Number of entrepreneurs provided with mentoring/training by LEOS to enable them to develop business plans for investors Table 7. 1 Interim Research
It will also allow an assessment of the return that has been achieved in relation to investments made and allow for the identification of areas that are underperforming relative to their potential
and capabilities and where further focus and investment of resources are required. 54 Appendix 1 Stakeholder Engagement Stakeholder Engagement
The following stakeholders were engaged: One-to-one meetings with: Enterprise Ireland NEXUS Innovation Centre Limerick Institute of technology Enterprise Research Centre Cook Medical University of Limerick Technology Transfer Office Vistakon IDA Ireland
Nestle Limerick Chamber of commerce Forfás Presentations to the Midwest RPG Implementation Steering Group: 11th december 2013 & 9th april 2014 Midwest R&i Stakeholders Workshop:
4th february 2014 Presentations to the Midwest Regional Authority Monthly Meeting: 5th february 2014 & 7th may 2014 Innovate Limerick Ltd.
Priority Area A-Future Networks & Communications Priority Area B-Data Analytics, Management, Security & Privacy Priority Area C-Digital Platforms, Content & Applications
and changing consumer demands; Internationally Traded Services-building on emerging growth opportunities; Logistics and Supply Chain Management-taking advantage of infrastructures and local skills;
Energy and Environmental products and services-based on natural assets and R&d capabilities; Tourism-based on historic strength, existing infrastructure and natural and cultural amenities. 56 Limerick 2030:
An Economic and Spatial Plan for Limerick Limerick 2030 sets out nine broad sectors which will drive the Limerick and Midwest economy over the next 10-15 years.
This Economic and Spatial Plan outlines nine sectors for further consideration: ICT/Electronics High tech Manufacturing/Engineering Logistics/Distribution High Value Food & Drink Life sciences Business and Professional Services Tourism, Sport & Leisure Secure investment
in emerging sectors New Enterprise Growth Low Carbon Sector New Enterprise Growth Cultural, Creative and Digital Media Mid West Regional Planning Guidelines
Priority Areas The Life sciences, Biotechnology and Medical Technology ICT including Software Logistics and Supply Chain Management Food Sector & Agribusiness Tourism and Leisure Renewable and Sustainable Energy
Overtext Web Module V3.0 Alpha
Copyright Semantic-Knowledge, 1994-2011