Axel Marx – Research Manager – Senior Researcher axel.marx @ ggs.kuleuven.be

1. Axel Marx – Research Manager – Senior Researcheraxel.marx@ggs.kuleuven.be

2. Networks for Prosperity Initiative Origin – Importance of Knowledge in Development • Development is increasingly about learning -> Knowledge management -> Networks are crucial for learning/knowledge management • Networks differ significantly in design and their capability to manage and create knowledge and facilitate learning. • Different types of networks exist, and some are more instrumental in the context of learning, information exchange and knowledge creation.

3. Networks for Prosperity Initiative Origin – The Emergence of Network Governance • Observe the emergence of a profound new form of governance => network governance • => Non-hierarchical coordination of policy actionbetween actors • => Distinct from governing by hierarchies (states) and markets (Börzel, Williamson; Powell; Torfing; Scharpf; Slaughter; Woods). • Renate Mayntz (1993): “the notion of ‘policy networks’ does not so much represent a new analytical perspective but rather signals a real change in the structure of the polity.”

4. Networks for Prosperity Initiative Origin – Network Governance • Networkgovernance – somecharacteristics (Lobel) • (1) increased participation of non-state (private) actors in public policy making and provision due to their knowledge and expert capabilities and efficiency.   • (2) adaptability and constant learning. Given the nature of a highly dynamic policy environment with increasingly new complex policy challenges governance requires adaptability and constant learning, recognizing the constant requirement to adapt to change. Systems/networks to facilitate this form of learning are increasingly developed

5. Networks for Prosperity Initiative Origin – Functions of Networks • Martinez-Diaz and Woods (2009) • agenda-setting • consensus building • policy coordination • knowledge production and exchange • norm-setting and diffusion • Slaughter (2004) • Information networks => exchange of information and knowledge. • Enforcement networks => enhancing cooperation among national regulators to enforce existing rules • Harmonization networks (trade agreements) =>harmonizing regulatory standards such as product-safety standards with the aim of abolishing technical barriers to trade.

6. Networks for Prosperity: Achieving Development Goals Through Knowledge Sharing Networks for Prosperity Initiative

7. Networks for Prosperity Initiative

8. Networks for Prosperity Initiative • Knowledge without Frontiers: international networks • Cases from Cuba and Viet Nam. • Regional networks like ERIA, Red Mercosurand NEPAD • UNIDO supported networks like AfrIPAnet & CAMI • From Dialogue to Collaboration: inter-organizational networks • Cases of public-private sector networking from Bolivia, Costa Rica, Dominican Republic, Ethiopia, Panama, Peru, Serbia. • The Knowledge Organization: intra-organizational networks • Cases from Egypt, El Salvador and Turkey. • UN Teamworks social network • Positive experiences • Costa Rica’s medical devices cluster is achieving better than average knowledge spillovers • Panama’s Ciudad de Saber is pioneering a knowledge economy • Improved public-private dialogue in Ethiopia and Serbia • Innovation in Bolivia’s sugar supply chain • Technology transfer in shoes, pisco and gastronomy in Peru • Securing public procurement success for SMEs in RepublicaDominicana;

9. www.Networks4Prosperity.org Networks forProsperity: Connecting Development KnowledgeBeyond 2015 Networks for Prosperity Connecting Development Knowledge Beyond 2015

10. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Case Studies Jorge RodríguezVives on competitiveness councils in Costa Rica Johan Adriaensen on the importance of inter-organisationalnetworks in tradepolicy Ariane Corradi on the importance of network managers in incubators (business developmentcentres) Thomas Vogel and Petra Koppensteiner provide a perspectivefromcivil society on a project (HORIZONT3000) whichaims to construct a networkforsharing best practicesamong partner organizations in the developingworld.

11. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Essays Jacint Jordana on the proliferation of regulatory agencies and the role they play in new forms of governance including network governance Ettore Bolisani and EnricoScarsoonknowledgenetworks in business stressing the diversity of knowledgenetworks in business and theirvaryingeffectiveness. Ana Miric onbarriers to building learningnetworksstressing the importance of strategy, culture and leadershipformakingknowledgenetworksperformant Tim Meyer analyzing the transformation in international organizationfromhierarchies to networkswith a specificemphasison managing knowledge and science

12. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Essays Orly Lobel reflectingonhow to manage knowledge in organizationsfocusingon different aspectsrelated to legal governance of human resources and intellectualcapital Michele Clara, from UNIDO, reflectingon the importance of knowledgenetworks in industrialpolicymaking and relatedlearningprocesses

14. Networks for Prosperity Initiative Connectedness Index Aim: Capture the degree to which countries are networked and analyze variation between countries (include many countries) How: Creating a connectedness index which consists of three sub-indices on the basis of existing databases (best available data) Approach: Inductive – screening of 70+ ‘global’ databases containing more than 7000 variables. Status: Data availability, methodological issues => improveit

15. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Measuring Connectedness: levels and components Each component is transformed to the same scale, ranging 0-1. Each sub-index is created by averaging its components. Connectedness Index is the average of its three sub-indices. => Do notweighcomponents

16. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Connectedness Index 2012

17. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Variation in the connectedness sub-indices

18. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Connectedness Index 2012 – Main Results Switzerland, Sweden and Denmark are the three most connected countries (equal to the previous index). Differences in the countries rankings are moderate compared to 2011 Overall, countries are slightly more connected. Differences in scores are sometimesverysmall => smallchangescanlead to rankingchanges => betterwork in the futurewith clusters of countries

19. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Connectedness and development measures

20. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Connectedness and development measures

21. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 • Connectedness and development measures • The graphs show a strong positive linear relationship between connectedness and government effectiveness, GDP per capita and industrial performance. • However, these linear relationship (or high correlations) cannot be interpreted as cause and effect. • Futurework • Manymethodological issues, manyquestions • Understandbettervariationbetweencountries

22. Networks for Prosperity: Connecting Development Knowledge Beyond 2015 Conclusions Establish the foundations for a research program on the importance of networkgovernance, especiallyMICs Futurework to concentrateon types of networks, management of networks and effectiveness of networkgovernance. The UNIDO Connectedness Index is distinct from others, as it accounts for the degree to which a country is networked externally and internally = further development and consolidation