NAKANISHI Hironori Open Innovation as a Key Driver of Japan’s Industrial Competitiveness

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RIETI-NISTEP Policy Symposium
Open Innovation as a Key Driver of
Japan’s Industrial Competitiveness
Handout
NAKANISHI Hironori
Deputy Director General for Science, Technology and Innovation
Cabinet Office, Japan
August 21, 2015
Research Institute of Economy, Trade and Industry (RIETI)
http://www.rieti.go.jp/en/index.html
Approach to Open Innovation in Japan
August 21st, 2015
Hironori Nakanishi
Deputy director general for STI policy
Cabinet Office, Japan
Concept of firm’s boundary
<Production>
Cost of using market
or internalization
Transaction cost
Choice of contract
Boundary of firm (Make or buy?)
Organize
internally
Using Market
Q
Make
Buy
<Innovation>
Past; Small market of innovation/invention
Now; Easy to valuate the purchase of
technology and venture due to
open innovation, university-Industry
cooperation etc.
University-industry cooperation in Japan
Brief history of university - industry cooperation in Japan
1960’s-70’s Anti-movement in university for collaboration with industry
1998 Law for technology licensing organization
1999 Japanese Bay-Dole act
2004 Reformation of national university to independent institution
Some recent progress
#
<Collaborative Research >
Mill ¥
30,000
Number by the scale
50,000
25,000
<1 mill ¥
8,850
9,509
10,842
40,000
20,000
1 mill ¥-3 mill ¥
5,840
6,700
7,178
3 mill ¥-5 mill ¥
1,292
1,439
1,505
30,000
15,000
5 mill ¥-10 mill ¥
909
945
988
20,000
10,000
10mill ¥‐50mill ¥
648
652
749
47
54
74
10,000
5,000
17,586
19,299
21,336
60,000
0
2000
2005
2010
0
FY2013
FY
>50mill ¥
Total
2009
2011
2013
Ave. ¥ 200K /#
3
Toward open innovation – much to be done
Million ¥
<Revenue of TLOs>
<Number of University start-ups in Japan >
300
2197
2074
2,500
2143
2200
2027
20Mill $
1953
252 252
2000
1863
250
1697
226
2,000
1487
1800
210
1600
195
200
1235
167
1,500
1400
166
151
1200
150
983
1000
757
1,000
800
95
100
90
562
50
33
19
47
0
0
2000
2005
2010
FY2013
600
69
54
395
47
500
74
47
41
400
244
149
9
200
108
56
75
0
2000
2005
FY2012
Total value of start-ups from Tokyo Univ. exceeds 10bil $
4
Fluidity of human resources !?
Flow of scientist and engineer (FY2013)
8,200
7,200
Abroad
Newly hired
Univ.
5,200
(389 K)
19,200
200
1,200
15,200
7,400
2,100
National
Lab.
(86 K)
500
Company
100
(666 K)
800
1,400
12,300
5
Era of “Open innovation”
Internal; Absorption ability
Corporate Strategy
Idea, Technology transfer
Human resource management, M&A
Business model
External; National, Regional, Global
Creative/Knowledge Commons
Reduce cost of innovation in the market
e.g. technology, human resources and transaction costs
Soft business infrastructure, Open science
Tear down walls in organization or between sectors and border!?
Mediation function ?
6
How to create the future to come?
Time of drastic change; Connectivity, Openness, Data-driven
IoT, Industry 4.0, Smart service world, Science 2.0, Open Science
Future industry and society ?
Preparedness and challenge are the key; Cannot tell what happen next
Investing in fundamentals (people and excellence)
Role of Government; How to be an entrepreneurial state?
Level playing filed, leading role for solving socio-economic issues, and more!?
Revitalize neglected technologies by private sector
Co-creation is the imperative for open innovation era.
Inclusive innovation, User induced innovation
Japan’s new national innovation system
7
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