Role of Innovation Infrastructure in Economic Development of EU Accession Countries: The Croatian Case I. Nagy & A. Mamić Business Innovation Centre of Croatia – BICRO Ltd. Planinska 1 Ι HR 10000 Zagreb Ι CROATIA ivana.nagy@bicro.hr Ι ante.mamic@bicro.hr Ι www.bicro.hr Content I. How new technological revolutions challenge economic policy makers I. The role of innovation infrastructure in addressing economic challenges I. What type of infrastructure facilities are supported in Croatia I. Biosciences Incubation & Technology Commercialisation Centre (IPA-funded project) I. Conclusions, Q&A Country background: CROATIA Economic profile: Surface: 56.538 sq. km Population: 4,43 million GDP at current prices: 45,4 billion € GDP per capita: 10.245 € GDP growth rate p.a.: -5,8 % Average inflation rate: 2,4 % Foreign debt: 43,1 billion € Unemployment rate: 9,1 % R&D WEALTH KNOWLEDGE INNOVATION 4 main goals of economic policy THE NEW PARADIGM OF DEVELOPMENT Full Employment Price Stability Harvesting the benefits of Technology Revolutions Economic Growth BP Equilibrium Five technological revolutions in 200 years 1771 The ‘Industrial Revolution’ 1829 Age of Steam and Railways 1875 Age of Steel, Electricity and Heavy Engineering 1908 Age of Oil, the Automobile and Mass Production 1971 Age of Information and Telecommunications 20?? Age of Biotechnology, Nanotechnology and Bioelectronics? Each brings a different world of opportunities for innovation and has a similar pattern of propagation In theory… THE LIFE TRAJECTORY OF A TECHNOLOGICAL REVOLUTION AND ITS TECHNO-ECONOMIC PARADIGM Deployment of potential 40-60 years Previous revolution exhausted and declining IRRUPTION MATURITY Next revolution in gestation Time Initial radical innovations Techno-economic paradigm defined AN EPIDEMIC PATTERN OF DIFFUSION FROM IRRUPTION TO MATURITY Source: Based on Nelson and Winter, Dosi, Wolf, Abernathy and Utterback, Arthur, etc. Double nature of each technological revolution NEW DYNAMIC INDUSTRIES A NEW TECHNO-ECONOMIC PARADIGM A powerful cluster of new products and processes and new infrastructural networks New all-purpose technologies, new organisational principles, different business models and low-cost facilitating infrastructure NEW FIRMS AND INDUSTRIES BECOME ENGINES OF WORLD GROWTH REJUVENATION AND MODERNISATION OF THE WHOLE ECONOMY A general leap in productivity Appropriately designed innovation infrastructure can be a catalyst for innovation Encourages research cooperation • IBPs encourage cooperation among university researchers, companies and research institutions to develop new ideas Promotes regional development • • Help laboratories justify further R&D support Have concrete impacts on jobs and growth that build support in the community and the country Builds public support for R&D • • • Facilitate firm creation Generate critical mass for a regional economy Encourage new and existing firms and the new jobs and growth they bring Innovation infrastructure in Croatia: Building block of the National Innovation System • Centres of Research Excellence • University Technology Transfer Offices • Centres of Competence for Emerging Technologies • Incubators for High Technology • Science & Technology Parks Rudjer Bošković Institute (RBI) RBI is the largest Croatian multidisciplinary research institute in: • Physics • Chemistry • Oceanography (marine and environmental • research and geosciences) • Molecular Biology • Biomedicine • Computer science • Electronics/Engineering Mission: • High quality basic research • Strong involvement in higher education • Leading contribution to the growth of the national economy Vision: • Croatian EU Centre of scientific excellence 20,000 m2 area, 81 labs Spin-off companies of RBI Rudjer Innovations Ltd. • Commercialization of innovations and technology transfer Rudjer Medikol Cyclotrone Ltd. • Development and production of radionuclides Rudjer Medikol Diagnostics Ltd. • Breast and other genetic hereditary diagnostics Initium Futuri Ltd. • Innovative ICT technologies BioZyne Ltd. • Biotech company for R&D in the life sciences (cancer drugs) Artes Calculi Ltd. • Innovative ICT technologies University TTOs THEIR ROLE: They support researches in all stages of technology implementation from idea, invention, process of IP protection, to setting up a company and commercialization of intellectual property. The 4 University TTOs in Croatia, in particular help with: • intellectual property protection • education of researches and students in entrepreneurship • writing business plans • making of marketing plans • setting up of companies • establishing contacts with business partners • other questions regarding the beginning of entrepreneurial activity Centres of Competence for Emerging Technologies (COMETs) BICRO supports development of COMETs in sectors of strategic interest to the Croatian economy. COMETs are established in collaboration between scientific and industrial partners for the purpose of conducting R&D for the needs of the business sector. So far, COMETs were established focusing on • Maritime industry • Renewable energy • Green technologies • Translational medicine Incubators for High Technology Incubators accelerate successful development of entrepreneurial companies through an array of business support resources and services: • • incubation programme R&D and/or production facilities • • Varaždin IT Incubator Incubator in Čakovec focuses on digital technologies and construction industry Incubator in Nova Gradiška has a focus on production using CNC technologies • Science & Technology Parks Associated with higher education institutions. STP are encouraged by local governments, in order to: • attract new companies • expand tax base • increase employment opportunities • engage science base in technology transfer and commercialisation activities that add value to businesses • • Science & Technology Park of the University of Rijeka Technopolis University of Osijek BIOCenter project – IPA BIOCentre project – making it real The Biosciences Technology Commercialisation and Incubation Centre – BIOCentre BIOCenter project – IPA Eligible expenditure: 16.376.410,70 € IPA Contribution: 13.919.949,00 € Gross floor area: 5.330 m2 Usable floor area: 4.457 m2 Central laboratory unit Three main segments of the BIOFacility Service:: Qualified laboratory spaces Office spaces for tenants Physical infrastructure: Office space, Laboratory BIOCenter project – IPA space, equipped Central Laboratory Unit Programme for business development, mentorship, specified services and financial support for academic entrepreneurship, start-up and incubation BIOFacility Programme for technology transfer supporting BIOIncubation cooperative R&D projects between and research institutions, with a focus on the up-scaling process of new bio-products BIOTransfer BIOEducation Business and technical training courses for specific know-how, methods and new technologies BIONetwork Programme for cooperation, regional networking and international marketing of biotechnology and life sciences in Croatia Recommendations for designing growth accelerating infrastructure • Target the most strategic and rapidly developing technologies • Increase the capacity and capability of critical national scientific assets • Meet the most immediate business demands • Improve physical facilities and services to allow companies to conduct cost-effective R&D Conclusions • Technological progress and innovation play a central role in a country's economic progress • As an economy advances to the global technological frontier and narrows the technological gap, an innovation-based growth strategy that focuses on investments in R&D and technology creation offers the greatest potential for economic growth • Investments in innovation infrastructure must be a part of any economic growth strategy • Investments need to be coordinated on the national and local level, involving a variety of stakeholders, in order to maximize development effects and benefits to the overall economy of the country SCIENTIFIC INSTITUTIONS ADMINISTRATION R&D WEALTH INNOVATION INFRASTRUCTURE KNOWLEDGE INNOVATION COMPANIES ENTREPRENEURS Thank you for your kind attention! Ivana Nagy & Ante Mamić Business Innovation Centre of Croatia – BICRO Ltd. Planinska 1 Ι HR 10000 Zagreb Ι CROATIA ivana.nagy@bicro.hr Ι ante.mamic@bicro.hr Ι www.bicro.hr