Cas$lla  y  León:   Towards  a  RIS3  strategy   Crete, 26-27 September 2013 Gregorio Muñoz Abad CASTILLA Y LEÓN 2 •  Expectations from the peer review workshop •  Questions we would like peers discussion •  Introduction of Castilla y León’s work on research and innovation •  Governance •  Building the evidence base for RIS3 •  Looking beyond regions’s boundaries •  Looking at entrepreneurial dynamics •  Main Objectives of RIS3 •  Priorities •  Digital Growth priorities •  Why these priorities? •  Implementation and budget •  Measuring progress •  Your self-assessment •  Summary and next steps •  Questions we would like peers to discuss Index Expectations from the Peer Review Workshop Sharing   with   others   the   region’s   experiences,   and   learning  about  some  new  S3  aspects,  such  as:  • New  planning  issues:   •  Further  policy  integration:  Digital  Knowledge  Society,  Education…   •  DeAinition  of  Plans,  more  speciAic  than  the  Strategy.   •  Reduction  of  priorities,  and  resources’  concentration.   •  Evaluation  and  monitoring  of  programmes,  not  only  the  whole  strategy.   •  Wider  governance:  Mobilise  the  whole  society,  beyond  the  business  sector.   •  The   S3   as   a   revulsive   face   the   crisis:   Stop   the   fall   of   private   and   public  investment  in  R&D.   •  International  approach:   ü Co-­‐operation  with  other  regions  (“institutional”).   ü Increase  participation  in  international  programmes.   3 Questions we would like peers discussion We  have  three  main  issues  to  discuss:    •  Integration  of  horizontal  priorities  with  vertical  priorities  –  How  to  link  the  horizontal  instruments:  programs  and  plans  with  prioritized  areas:  economic,  scientiAic  and  technologic.  •  Indicators  –  How  to  deAine  indicators,  specially  those  related  with  the  results.  –  How  to  quantify  the  indicators  in  a  realistic  way  (previous  contrast  with  key  actors,  past  experiences...)  •  Policy  Integration:  Digital  Knowledge  Society  with  R+DI  –  How  to  link  objectives  and  programs  –  How  to  coordinate  measures  to  promote  the  use  of  ICT    with  innovation  support  for  companies.   4 Introduction of Castilla y León’s work on research and innovation (I) Previous experience with RIS or innovation and research policy. Significant milestones 5 MILESTONES ACHIEVED 1983 First call of research projects. 1985 Decree supporting Technological Innovation. 1990 Boecillo Technology Park. 1992 Technology Centres Law. 1995 Regional Development Agency. 1997-2000 Regional Technology Plan. 1999 Regional Law for Research and Science. 2002-2006 Regional R&D&I Strategy. 2006-2009 Framework Agreement for Industrial Competitiveness and Innovation. RUNNING INITIATIVES 2001 Commission for Coordination on Science and Technology. 2002 Law of Promotion and General Coordination of R&D&I. 2003 Universities Law (modified in 2010). 2007-2013 Regional R&D&I Strategy 2007-2013. 2007 Commissioner for Science and Technology. 2008-2013 University-Business Strategy 2008-2013. 2010-2013 II Framework Agreement for Industrial Competitiveness and Innovation. The  past  experience  feeds  into  the  new  RIS3: •  Progressive  integration  of  policies   •  The  University-­‐Business  Strategy,  TCUE  program,  the  support  to  business  start-­‐ups     •  Consensus  building  with  regional  actors.   •  DeAinition  of  priority  sectors  (Strategic  Competitiveness  Framework).   •  Monitoring  and  evaluation  systems:  statistical  indicators  –  transparency.     Regional  and  National  Coordination:   •  There  are  national  and  regional  RIS3  in  Spain.   •  Formal  coordination  through  the  Council  of  S&T  and  Innovation  Policy.   •  Still  room  for  technical  (in-­‐depth,  detailed)  cooperation  between  both  levels.   6 Introduction of Castilla y León’s work on research and innovation (II)   Strategic  vision  for  the  future  of  Castilla  y  León     TO  ACHIEVE  A  COMPETITIVE  POSITION  IN  THE  GLOBAL  CONTEXT  TO  CONTRIBUTE   TO  THE  REGION’S  GOALS:  •  Employment  and  sustainable  economic  growth  •  Social  and  territorial  cohesion  •  Improved  quality  of  life 7 Introduction of Castilla y León’s work on research and innovation (III) 8 Coordinator:  Commissioner  for  Science  and  Technology.     Regional   partnership:   IdentiAied   from   previous   knowledge,   new   comers,  hidden  leaders,  etc.  Involves:   •  Regional  ministries.   •  Universities  and  research  centres   •  Technology  centres   •  Companies,  business  associations  and  clusters     Roles  of  the  actors:  consultation  (interviews),  contrast  (meetings).     Decisions  about  RIS3:   •  Final  decisions  taken  at  high  political  level.   •  Based   on   relevant,   objective   information   provided   by   the   participatory  process.   •  Proposals  by  regional  actors.   Governance Analysis and Diagnosis of Regional Context and innovation potential PARTICIPATORY GOVERNANCE KET Workshops • Advanced materials • Biotechnology • Advanced processes •  ICT Specialization pattern Interviews Focus Group • Public administration • Companies • Researchers • Technology centres • Knowledge Transfer entities • Universities • Knowledge transfer entities • Companies SWOT R&D&I SWOT Digital Knowledge Society S ec to ra l A n al ys is • Automotive • Agribusiness • Health and live quality • Environment and Energy • Habitat • Tourism and Heritage Building the evidence base for RIS3 (III) Main steps 10 Strengths   •  Experience  in  the  design  and  implementation  of  R&DI  policies.   •  Existence  of  technology  infrastructures:  technology  parks,  science  parks,  ICTS,  etc..   •  High  working  population’s  education  level.   •  Business   expenditure   on   R&D   bigger   than   the   public,   and   above   the   national  average.   •  Competitiveness  (resistance  to  the  crisis)  of  some  strategic  activities  and  sectors  at  global  level.     Building the evidence base for RIS3 (I) SWOT Analysis R&D&I 11 Weaknesses   •  Strong  impact  of  the  crisis:  loss  of  illusion  of  regional  actors  (reAlected  on  R&D&I  indicators).   •  Low  institutional  leadership  in  R&D&I  actions  (though  there  is  coordination).   •  Science   little   related   to   regional   economic   tissue;   still   insufAicient   university-­‐business  relationship.  University  graduates  not  adapted  to  companies’  needs.   •  Universities  are  low  in  national  (and  international)  rankings.   •  Small  size  of  companies,  and  low  technology  level  and  absorption  capacity.   •  Brain  drain.   •  Reduced  internationalization.   Building the evidence base for RIS3 (I) SWOT Analysis R&D&I 12 Opportunities   •  Exploitation   of   trends   of   future   in   some   areas,   such   as   agro   food,   health   and  quality  of  life  and  energy  and  environment.   •  Development   of   applications   in   some   Aields,   such   as   materials,   production  processes,  ICT  and  biotechnology.   •  Interrelationship   among   economic   sectors,   and   integration   of   value   chains:  technological  cross-­‐application  of  ICT,  energy  and  environment  and  biotechnology,  etc.   •  New   programming   period   2014-­‐2020   (cohesion   funds,   Horizon   2020,   etc.):  synergies   and   complementarities   of   funds   and   integration   of   policies   and  instruments.   •  RedeKine   Ainancial   instruments   and   the   role   of   Administration   as   service  provider.   Building the evidence base for RIS3 (I) SWOT Analysis R&D&I 13 Threats   •  Extension  of  effects  of  the  crisis.   •  DifAiculty  of  access  to  Kinancial  markets.   •  Decline  of  private  investment.,  especially  reduction  of    R&D&I  investment.   •  Reduction  of  public  budget  for  R&D&I:  loss  of  support  structure  to  R&D&I.   •  Increasing  competition  in  international  markets.   Building the evidence base for RIS3 (I) SWOT Analysis R&D&I 14 Strengths   •  Availability  of  broadband  coverage  throughout  the  territory  (universal  service).   •  Computer  equipment  and  Internet  access;  digital  natives;  use  of  mobile  devices.   •  Existence  of  facilities  and  centers  of  reference  in  ICT.   •  Extensive   use   of   electronic   means,   especially   in   the   relation   with   Public  Administration,  and  within  it  (e-­‐health,  e-­‐education…).   •  QualiAied  ICT  professionals,  and  supply  of  graduates  from  University  and  vocational  training.   •  ICT  sector  specialized  in  mobility  and  security.   Building the evidence base for RIS3 (II) SWOT Analysis Knowledge Digital Society 15 Weaknesses   •  Large  region  with  difKicult  orography:  sustainability  of  ICT  infrastructures.   •  Mostly  micro  SMEs  and  traditional  sectors  self-­‐employed:  low  level  of  adoption   of  ICT,  especially  in  retail.   •  Fragmented  regional  ICT  sector:  size-­‐related  problems.   •  Aged  population  with  less  training  and  knowledge  of  use  of  ICT  tools.   •  In   some   cases,   limited   leadership,   resistance   to   change   and   insufAicient   internal  coordination  for  implementation  of  ICT  in  public  administrations.   •  Lack   of   rationalization   /   simpliAication   of  administrative  procedures   for   their  electronic  implementation,  especially  in  Local  Government.   Building the evidence base for RIS3 (II) SWOT Analysis Knowledge Digital Society 16 Opportunities   •  Importance  of  ICT  in  the  new  framework  of  European  funding.   •  ICT  applications  as  a  major  competitiveness  driver  in  companies.   •  Nearshore:  capacity  of  the  region  to  attract  ICT  companies  to  settle  in  the  territory.   •  New  technologies  (satellite,  mobile  broadband)  instead  of  infrastructures.   •  New   trends:   social   networks,  mobility   and   geolocation;   telework;   Cloud   Computing,  pay-­‐per-­‐use  models;  Open  Data,  demand  for  contents,  more  usable  technologies  closer  to  citizens,  etc.   •  Growing  possibilities   for  use  of   ICT   in   the  public  sector  (energy  saving,  education,  health,  social  care…).   •  New  models  of  public-­‐private  cooperation  that  reduces  costs  (synergies).   Building the evidence base for RIS3 (II) SWOT Analysis Knowledge Digital Society 17 Threats   •  Low  proKitability  for  operators  in  rural  areas;  sustainability  of  infrastructures.   •  Complexity  of  the  regulatory  framework  on  ICT.     •  Low  conKidence  in  digital  environment.   •  Low  usability  of  services  and  complexity  in  use  of  digital  certiAication  systems.   •  Fast  changes  in  technologies  and  ICT  standards.   •  Lack  of  interoperability  and  standardization  of  digital  contents  and  services.     Building the evidence base for RIS3 (II) SWOT Analysis Knowledge Digital Society The  external  context,  national/international  •  Ident i A icat ion   of   reg ions   for   potent ia l  collaborations   in   each   macro   activity   of   regional  pattern.  •  Source:  European  Cluster  Observatory  (ECO).  •  One   of   the   Strategic   Objectives   of   RIS3   is   the  Internationalization  of  regional    R&D&I  system  •  IdentiAication   of   partners   regions   in   VII  Framework   Program:   complementarity   or  collaboration   experience   in   R&D&I:   South   and  Centre  of  Europe  (P,  I,  GR,  DE,  F,  UK)   18 Economic   Activity   Castilla  y  León   position  in  EU   257  Automotive,  components  and  equipment   60  Agribusiness.:  Agribusiness  products   20  Agribusiness:  Food  processing   29  Building  Materials   12  Tourism   89  Region’s  work  on  Research  and  Innovation  vis-­‐à-­‐vis  other  regions   •  Participation  in  mutual  learning  activities   •  Interreg  IV  C  Know-­‐Hub  project   •  Spanish  ERDF-­‐funded  policies  Network   Looking beyond region’s boundaries ‘Entrepreneurial  process  of  discovery’:  continuous  dialogue  with  regional  actors  to  explore  and  identify:  •  the  initial  situation  (diagnosis:  SWOT,  specialisation  pattern)  •  horizontal  priorities  (strategic  and  speciKic  objectives)  •  vertical  priorities  (technology  trends,  scientiAic  areas,  economic  sectors)     Involvement  of  entrepreneurial  actors:  through:  •  Individual  interviews.  •  Focus  groups,  to  determine  the  specialisation  pattern.  •  Small  meetings  to  validate  each  step  (diagnosis  and  priority  setting).   •  All   types   of   actors   involved   (companies,   business   associations,   universities,  research  &  technology  centres,  public  administration,  trade  unions…)   •  More  difAicult  now  (disappointment).     19 Looking at entrepreneurial dynamics 20   Outward  looking   • I n t e g r a t i o n   o f  i n n o v a t i o n   &  internationalization   • Part ic ipat ion   in  i n t e r n a t i o n a l  programmes.   Management  system   • Coordination  between  regional  ministries   • Monitoring  and  evaluation:  traceability  &  coherence   Employment  &  sustainable  economic  growth   Social  &  territorial  cohesion   Quality  of  life   Cooperation   • Open  innovation  (business)   • Research   platforms   (critical  mass)   • IdentiAication   of   companies’  needs  &  technology  transfer   • Higher  Education-­‐Innovation   Competitive  economic  model   • New  innovative  companies   • Training  for  innovation   • Access  to  Ainance   • Business  innovation  services   Innovation  &  creativity  social   culture   • Creativity   &   innovation   in   all  educational  levels   • Diffusion   of   S&T   results   to  society   ScientiKic  &  technological   leadership   • Excellence  in  niches   • Qua l i t y   &   impac t   o f  research   • Human  capital   Main objectives of RIS3 21 Priorities SCIENTIFIC   AREAS   TECHNOLOGY   DOMAINS   ECONOMIC   ACTIVITIES   •  Medicine     •  Agriculture,  Biology  &  Veterinary   •  Chemistry   •  Engineering   •  Advanced  materials  (incl.  nano)   •  ICT  (incl.  electronics  &  fotonics)   •  Biotechnology   •  Advanced  manufacturing   •  Automobile,  Components  &  Equipment   •  Agro-­‐food   •  Health  &  Quality  of  life   •  Energy  &  Environment   •  Habitat   •  Tourism,  Heritage  &  Spanish  language    1.   Encourage   the   deployment   of   telecommunications   networks   and  services  to  ensure  digital  connectivity.    2.  To  develop  the  digital  economy  for  the  growth  and  competitiveness  of  enterprises.    3.  To   improve   the  effectiveness,   efAiciency  and  quality  of  public   services  through  an  intensive  use  of  ICT.    4.  Promoting  digital  adaptation  of  citizenship  and  social  innovation.   22 Digital Growth priorities 23 MACROACTIVITIES  (total)* Automotive,   components  and   equipment Agroindustry Tourism,  heritage   and  Spanish   language Habitat Energy  &   Environemnt Health  and  wellness 9,58% 13,4% 8,1% 16,54% 5,46% 6,21% 59,29% PRIMARY   ACTIVITIES AGROINDUSTRY HEALTH  AND   WELLNESS METALURGIA MACHINERY   AND   EQUIPMENT RUBBER  &   PLASTIC VEHICLE   MANUFACTURING ENERGY  &   ENVIRONMENT CONSTRUCTION  &   CIVIL  ENGINEERING BUILDING   MATERIALS HABITAT TOURISM HERITAGE  AND   SPANISH   LANGUAGE 1,59% 5,06% 2,93% 8,51% 4,89% 6,08% 5,46% 6,21% 2,02% 2,29% 12,42% 1,83% Why these priorities? Economic pattern 24 Why these priorities? Scientific pattern 25 For  each  one  of  the  6  economic  macro-­‐activity,   analysis  of:   •  Economic  specialisation   •  Economic  dynamism  (tendency,  not  static  picture)   •  Relevant  scientiAic  domains   •  Applicable  technologies   •  Existing  R&D  infrastructures   •  Clusters  and  leading  companies   Priorities:  IdentiAication  of  the  regional  specialisation  pattern.  Integration  of  the  3  patterns   Why these priorities? 26 MLC1  Workshop  on  Peer  Review  results  and  Implementation  Plan   EC O N O M IC   PA TT ER N   Economic  activities   AUTOMOTIVE  &  TRANSPORT   Clusters  &  leading   companies   •    FACYL,  Cluster  CBECyL  •    Renault,  Nissam,  Michelin,  IVECO  ,  Grupo  Antolín,  Nicolas  Correa,  Lingotes  Especiales   Technology  centres   CIDAUT,  CARTIF,  ITCL,  CTM   REFERENCE  REGIONS   SCIENTIFIC  PATTERN   ENGINEERING   • DE  Stuttgart   • DE  Oberbayern   • SE  Vastsverige   • DE  Karlsruhe   • DE  Oberpfalz   • AT  Wien   • DK  Hovedstaden   • FR  Ile  de  France   • DE  Darmstadt   • DE  Hamburg   • DE  Rheinland-­‐Pfalz   • IT  Torino   • GR  West  Greece   • HU  Central  Hungary   •  Systems  control  &  engineering   •  Electric  and  electronic  engineering   •  Mechanical  Engineering   MATERIALS  SCIENCES   •  Biomaterials   •  Polymers  &  plastics   TECHNOLOGY  PATTERN     MATERIALS   ICT   BIOTECHNOLOGY   ADVANCED  MANUFACTURING   •  Plastic  materials   •  Composite  Aibers   •  Ceramic  materials   •  Materials  with  optimised  mechanical  properties   •  ArtiAicial  vision   •  Real-­‐time  monitoring   •  Machinery  predictive  control:  sensors,  embedded  systems,  data  mining,  etc.     •  Robotics     •  Intelligent  infrastructures  (roads,  logistics):  sensors,  monitoring,  etc).   •  Bio-­‐fuels:  sunAlower,  bio-­‐forest  waste,  etc.     •  Bio-­‐polymers   •  Bio-­‐catalysers   •  Process  modelling  &  discrete  simulation   •  Intelligent  control  systems   •  Electric  vehicles  charging  systems   •  Development  of  Diesel  and  petrol  engines     26 Why these priorities? Integration  of  patterns   Action  plans:  to  be  developed  later  by  each   Ministry,   with   shorter   time  horizon;   not   included   in   the   Strategy  (long  term).   Budget   not   yet   speciKied.   It   will   be  de t e rmined   accord ing   to   the   quantitative  objectives.  It  will  be  composed  of:  •  Regional  budget  appropriations  •  Funds  obtained  in  competitive  calls  (national  &  European)  •  Private  R&D&I  investments.  Need  to  be  realistic  (crisis).     27 Evolution  of  science  and  technology   expenditure  in  the  Regional  Government   annual  budget  (1996-­‐2013)   Source:  Annual  budgets  of  Castilla  y  León.     Implementation and budget 15,3 24,3 25,6 35,4 53,7 66,2 104,4 162,9 188,2 216,5 228,4 249,9 312,4 318,0 318,2 317,1 297,3 254,9 0,61% 0,92% 0,63% 1,17%1,19% 1,35% 2,04% 2,19% 2,35% 2,53%2,53% 2,59% 3,01% 3% 3,01% 3,17% 3,06% 2,69% 0,00% 0,50% 1,00% 1,50% 2,00% 2,50% 3,00% 3,50% 0 50 100 150 200 250 300 350 400 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 % o v e r R e g io n 's o w n G e n e r a l B u d g e t B u d g e t a ll o c a te d t o S c ie n c e & T e c h n o lo g y ( M € ) (+9,4%) (+5,5%) (+15,0%) (+15,5%) (+56,0%) (+57,7%) (+23,3%)(+51,7%) (+25,0%) (+1,8%) (+38,3%) (+5,3%) (+58,8%) (+0,1%) (-0,3%) (-6,2%) 28 Monitoring  and  evaluation  mechanisms:  •  Annual  reports.  •  Mid-­‐term  review.  •  Follow-­‐up  by  S&T  Coordination  Commission   Indicators:  •  Still  to  be  deAined:  –  Statistical  for  impact  measurement.  –  Direct  for  measures  performance.  •  Must  be  linked  between  them  (consistent  system).  •  Take  into  account  the  Operational  Programme.       Measuring progress Source: S3 Platform/EURADA   29 0 1 2 3 4 5 Driving economic change through smart specialisation/RIS3 Informal assessment - region Castilla y LeónS Self-assessment Main  challenge:  to  reverse  the  downward  trend  of  indicators  (crisis).     Next  steps:  •  Validate  the  vertical  priorities  chosen  (mid  October)  •  DeAine  the  evaluation  and  monitoring  system  (end  October)  •  Elaborate  the  budgetary  scenario  (mid  November)  •  Writing  the  Ainal  complete  version  of  the  Strategy  (mid  December)  •  Formal  approval  by  the  regional  government  (end  December)  •  OfAicial  presentation  (Spring)   30 Summary and next steps •  Why:  It  is  complex  to  link  each  priority  to  horizontal  priorities  avoiding  duplicities.    •  How  to  link  the  horizontal  instruments:  programs  and  plans  with  prioritized  areas:  economic,  scientiAic  and  technologic.  •  How  to  establish  a  coordinated  system  for  all  involved  public  administration.  •  What  has  been  done:  We  have  contrasted  the  horizontal  priorities  with  regional  agents  and  also,  we  have  identiAied  vertical  priorities.  •  What  worked:  The  basis  identiAication  has  worked.  •  What  did  not  work:  The  problem  is  to  do  the  matrix.   31 Question 1: Integration of horizontal priorities with vertical priorities •  Why:  It  will  be  very  important  to  have  a  good  monitoring  and  evaluation  system  because  we  will  have  less  Ainancial  resources.  So  we  must  be  more  efAicient.  –  How  to  link  output  and  outcome  indicators.  •  What  has  been  done:  We  have  the  experience  from  the  last  strategies.  •  What  worked:  It  included  statistical  impact  indicators,  ofAicial  and  public  (transparent).  •  What  did  not  work:  Limited  information  about  speciAic  activities;  results  indicators  linked  to  single  measures  are  missing.   32 Question 2: Indicators Question 3: Policy Integration: Digital Knowledge Society with R&D&I •  Why:  The  Airst  time  that  both  strategies  are  together.  –  Till  now,  two  different  regional  strategies,  with  different  approaches  and  structures.    •  What  has  been  done:  The  analysis  of  the  starting  point,  the  SWOT  analysis,  the  regional  specialisation  pattern  and  the  objectives.  •  What  worked:  good  communication  and  collaboration  between  regional  ministry  for  ICT  and  Commissioner    in  charge  of  strategies.  Common  specialisation  pattern.  •  What  did  not  work:  SWOT  and  strategic  objectives  are  different.  Technically  difAicult  to  put  together.   33 34 Thank you Mr. Gregorio MUÑOZ-ABAD Deputy Commissioner for Science & Technology munabagr@jcyl.es