Institutional development and capacity building in science, technology and innovation

1. Institutional development and capacity building in science, technology and innovation Luis Sanz-Menéndez, CSIC, Unidad de Políticas Comparadas Washington, December 11th, 2006 Inter-American Development Bank Innovation, Science and Technology Network

2. Presentation Outline • Diversity of situations in LAC countries • What do LAC countries have in common? • Learn and get inspiration from other countries • New trends in STIP • Governance of the system • Human resources in science and technology • P-P partnership and technology transfer • Structural conditions and environment • Summary and hot issues

3. 1. Diversity in LAC countries • Population, • Income (GDP), • Per capita income, • National expenditure in R&D, • STA expenditure/GDP, • R&D expenditure/GDP, • University graduates per year, • Researchers, • Etc.

4. 2. What do LAC countries have in common? • Low R&D expenditure both in absolute and in GDP terms • Strong participation of public sector (superior education and government) in R&D expenditure • Weak contribution of private business sector • Low interaction levels between universities and business • Weak technology transfer structures

5. 3. Learn and get inspiration from other countries (I) • STIPs are “local” and dependent on: • Local opportunity windows • Local processes of introduction in the agenda of social PROBLEMS • Existence of political ENTREPRENEURS • Availability of SOLUTIONS • STIPs’ performance and results depend on: • Effective and efficient institutional set-ups • Public policy procedures (design and implementation) in tune with administrative capabilities

6. 3. Learn and get inspiration from other countries (II) • Institutional sources for Public Policy learning • Evaluation and follow up • Lack of satisfaction with results • Epistemic communities • Intergovernmental Organizations • Alternative ways of learning lessons from abroad: • Copying: adopting a full program • Emulating: adopting, adjusting to local conditions • Mixing: combining elements from two sources • Synthesizing: Combining others’ common elements • Inspiration: Programs as intellectual stimulation

7. 4. New trends in Science, Technology and Innovation Policies • Definition of national goals in STI • Design of National Strategies and Plans • Increase of the public budget for R&D • Selection of scientific-technical priorities • Institutional reorganization • Expansion of planning to all levels • Promotion of pubic-private collaboration • Technology transfer and marketing • Increase in human resources production

8. 5.1 Governance of the STI system and the role of public and private participants • Approval of strategies (with quantitative objectives), definition of national priorities and investment concentration: • Austria: Strategy 2010 • Luxembourg: National Reform Plan (until 2010) • Norway: Innovation 2010 • Spain: Ingenuity 2010 • Germany: Research and Innovation Pact • New Zealand: Growth and Innovation Framework - GIF • Switzerland: Educ., scient. and techn. promotion 2004-7 • Australia: Supporting Australian potential 2010

9. 5.2. Governance of the STI system and the role of public and private participants • Changes in the institutional structures for managing and financing R&D towards NIS’s efficiency improvement: • Austria: Creation of the R&D National Foundation • Belgium: Creation of an Innovation Fund • France: Creation of the National Research Agency (ANR) • Switzerland: Concentration of R&D in one department • Denmark: Creation of the Ministry of Science, Technology and Innovation • Poland: Conversion of a State office into the Ministry for Research and Information Technologies

10. 5.3. Governance of the STI system and the role of public and private participants • Involvement and representation of key research actors in the governmental decision-making organizations’ Advisory Councils – Increasing businessmen’s integration: • Finland: Businessmen participation in the S&TP Council • Spain: S&T Observatory, with businessmen participation, as an informal element in the EPO • Hungary: S&T Council, businessmen and scient. particip. • Korea: National S&T Council, industrial leaders’ participation and design and resources allocation compet. • Germany: ”Partners for innovation” initiative. Top level group chaired by the Chancellor and with busin. particip.

11. 5.4. Governance of the STI system and the role of public and private participants • Increasing introduction of financing procedures based on: a) competitive financing of R&D projects or; b) performance-based financing: • United Kingdom: Research Assessment Exercise (RAE) • Australia: Institutional Subsidy Scheme (AIGS) • New Zealand: Performance Based Research Fund (PBRF) • Hungary: reform of financing in public research: only 60% institutional financing: balance competitive and external • Korea: similar type reform: reduction of basic financing as an incentive to adjust research to demand • Other countries: contracts-programs with universities

12. 5.5. Governance of the STI system and the role of public and private participants • Reform at universities and PRCs to give them greater autonomy, management flexibility and external responsibility • Spain: Universities Law 2001 and 2006. More autonomy, accreditation and evaluation. • Japan: 2004. Conversion of universities into autonomous organizations without government status. Professors cease to be public employees. Ex ante control is replaced by ex post evaluation: university finances must be public.

13. 5.6. Governance of the STI system and the role of public and private participants • Reform at universities and PRC for the explicit development of the “third mission”: • Spain: Universities Law 2001 and 2006 • Denmark: 2003 Universities Law turns universities into independent public foundations to strengthen external relations: • Universities and PRCs can legally create and invest in companies • Mandate on the creation of public research spin-offs • Norway: Universities Law 2002: university responsibility for cooperation with industry

14. 6.1. Human resources in science and technology • Guarantee HRST growth • Increase science and engineering appeal • Austria: school support (15-19 years) in MATHSCITECH • Norway: special support to increase the number of Engineers • Netherlands: • University study plans more adapted to social and business demands: • Hungary: Plan to adjust study plans to industrial demands • UK: Roberts’ review • Full Planning of HRST production: • Korea

15. 6.2. Human resources in science and technology • Continous improvement of HRST for basic science and univ. • Encouragement of Excellence and support for quality PhDs: • Austria: APART and DOC programs • Ireland: Financing of PhD scholarships through Councils • Evaluation and accreditation methods • Spain: Professorship accreditation (ANECA) • Internationalization and mobility: • France: “Attractive regions” Program to attract French doctors from abroad and external researchers in general. • Japan: actions to attract foreign researchers. • Strengthening the capacities of PRCs and universities : • Spain: “Ramon y Cajal” Program • Canadá: Research Chairs (RChairs)

16. 6.3. Human resources in science and technology • Support to the HRST demand in the private sector: • Denmark: Industrial PhDs Initiative, thesis of business interest • France: CIFRE Program (Industrial Agreements for Training in Research), thesis in the companies • Spain: IDE action (Incorporation of PhDs to companies) and “Torres Quevedo” Program for doctors’ and technology experts’ enrollment. • Norway: Increase interaction between academic and business communities in MCT areas (RENATE) • Netherlands: Casimir Program of interchange between public and private sector researchers based on financial incentives to companies

17. 7.1. P-P partnership (PPPs) and technology transfer • Incentives for technology transfer and linking: • Spain: additional payments to researchers resulting from industry contracts • Evaluation of “technological” merit • Strengthening organizational capabilities of PRCs and Universities: • TTOs development • Japan: Creation of support centers for university technology transfer and changes in intellectual property rights (belonging to universities since 2004)

18. 7.2. P-P partnership (PPPs) and technology transfer • Improvement in the management of intellectual property rights (IPR): • Norway: Reforms to the Law of Intellectual Property in public institutions (institutional IPR) • Iceland: Reforms to the Law of employees’ inventions • Switzerland: Intellectual property belongs to the organizations and researchers receive part of the sales profits • Spain: Modification of the rights distribution rules at the PRCs • Incentive measures for professors’ mobility to company creation: • Spain, France and Japan: reforms of employment regulations in the public research sector

19. 7.3. P-P partnership (PPPs) and technology transfer • Permanent cooperation in research (for the exploitation and marketing of the results) : PPPs • Australia: Cooperative Research Centers (CRC) • Austria: Competence Centers Program (Kplus) • Netherlands: Leading Institutes of Technology (LITs) • France: Scientific and Technological Innovation Networks (RITTS) • Spain: Strategic National Consortiums for Technical Research (CENIT)

20. 8.1 Structural conditions and environment • General education • The increase of the population’s participation rates at all levels of the educational system is a necessary framework condition for a proper development of the research and innovation system. Hence, the importance of investments in education as % of the GDP, and the educational expenditure per student. • Legal framework for collaboration • Management practices and competences that allow and promote collaboration and contracting with the private sector, must be developed at public research centers.

21. 8.2. Structural conditions and environment • Macroeconomic and fiscal stability. • A modern fiscal collection system and fiscal incentives are necessary for companies to invest in R&D • Economic policy. • Transparent and stable capital market • Industrial policy and university policy. • Facilities for the creation of companies, for public sector research spin-offs and for Start-ups • Communications systems. • Infrastructures both for the movement of people and goods and also for information technologies.

22. 9. Summary and hot issues • Are the S&TNOs of today the adequate institutions for setting priorities and the starting up of national STI strategies? • What kind of institutions maximize the participation of public and private interests at the governance of the system? • Does the proliferation of private universities in LAC countries require the creation of accreditation, validation and quality institutions? • How can public research centers be reformed so that science becomes an input for policies? • Betting on transfer consolidation or on the most ambitious PP/Ps?

23. Thank you very much! LSANZ@IESAM.CSIC.ES htpp://www.iesam.csic.es