the role of innovation in the hungarian university system

ELUE - Rome 31 May 2006

The Role of Innovation in The Role of Innovation in the Hungarian University the Hungarian University SystemSystem

…no Past, only Present and Future…

Dr. István Bilik


Some data about Hungarian Higher Some data about Hungarian Higher EducationEducation

There are 25 Universities and 47 Colleges, among them-there are 18 state UNI and 14 state COL-there are 5 Church-UNI, 22 Church-COL-there are 2 private-UNI, 11 private-COL

The Nr of students is about 430thousand.

The Bologna-type of four-cycles (SCHE, BSc, MSc, PhD) education starts from 1st September, in an ascending line.

Theoretically all four degres can be obtained at every HEIs (based on the free signal of the Hungarian Accreditation Committee and of the newly established Hungarian Rectors’ Conference).


The Regular Structure of theHungarian Education System

PHD, DLA(3Y)

UNIVERSITYEDUCATION(5-6 YEAR)

COLLEGEEDUCATION(3-4 Y)

VOCATIONAL HE (2 YEAR)

SECONDARYSCHOOL

(4-5 YEAR)

VOCATIONALSECONDARYSCHOOL

(4-5 YEAR)

PRIMARY SCHOOL (8 YEAR)

NURSERY, KINDERGARTEN (6 YEAR)

ADULT EDUCATION/ RE-TRAININGCONTINUING EDUCATION

Vocational School(2-3 y)


0

50000

100000

150000

200000

250000

S1

Nr of Students at Different Levels (2005, Min.Ed.)

PhD UNI(MSc) UNI (further e.) COL(BSc) SCHE

Adatsor1 7941 138169 25991 240297 9122

PhD UNI(MSc)UNI (further

e.)COL(BSc) SCHE


Research and Development in GDP%

00,5

11,5

22,5

33,5

4


RESEARCH IN THE HUNGARIAN HE

Research, basic research, applied reserach and theapplication of results (innovation) are the basic conditionsof the development.

In Lisbon the European Ministers decided Europe has to bethe most competitive and attractive part of the World,and this target can be raeched with the minimum 3% ofGDP support for research activity.

And what is the best place to do research: the HEI swhere the knowledge is produced.


19901998

19992000

0

200

400

600

800

1000

1200

1400

1600

Principal data of R & D units

R&D institute and otherresearch units (mainlyHASc)R&D units of enterprises

R&D unit of highereducation


19901998

19992000

0

5000

10000

15000

20000

25000

30000

Staff Numbers in R&D units

Staff number in R&D units ofenterprises

Staff number in R&D institutes andother research units

Staff number in R&D units of highereducation


RESEARCHERS AND EXPENDITURES

Considering the number of research instutes, and theirresearchers and their expenditures we could see a verycontraversial image:

the institutes belong to the Hungarian Academy ofScience (HAS) there are much less in number and innumber of staff than the HEIs,

and on the other hand the HAS research units and theindustrial research institutes have much higher financialsupport than the research centres in HEI s.


FACTS IN THE REALITY

there are three spheres dealing with researchactivities: HEI s, HAS, I ndustry

public support mainly for the HEI s, HAS conditions for researchers:- in HEI s research+teaching+administration

(basicappliedinnovative)- in HAS research

(basicappliedinnovative)- in Industry applied research

(applied+innovative)


POSSIBLE CONCLUSION

the HEI s and HAS should strenghten the cooperation,on a mutual interest base

strenghtening the cooperation between HEIs andIndustry (creation an CIHE type organisation)

increasing public support for spin- off activity at HEI s the financial support should intensively increase (Lisbon

incentives) more effi cient use the national and EU resources HEIs should focus on innovation application for support from Hungarian Developing

Offi ce


On the contrary the Government knows that innovation is a key issue in increasing the competitiveness of the Hungarian economy, there are about one million enterprises in Hungary, but very few of them carry on innovative activity.

What is the reason of that?


Measures taken by the Government for developing the innovation activity are

Hungarian Innovation League (1996) creating the R+D Innovation Foundation (0.25% of

yearly turnover of enterprise + public contribution on the same amount, in 2003)

Act of Innovation (2004) National Research and Development Office (2004) R+D Innovation Council (2004) League of Innovative Enterprises (2006) comprehensive attempts to create a nation-wide

innovation network


Innovation CentresInnovation Centres


Future of Hungarian Innovation /2/Future of Hungarian Innovation /2/

Regional Organisation for Innovation (involving Universities or belonging to HEIs):

Debrecen – Debrecen U. Győr Széchenyi U. Miskolc – Miskolc U. Tatabánya Veszprém – Pannon U. Eger Pécs – Science U. Budapest – Technical U., Medical U. (1st spin-off), Eötvös

L. U. Szeged – Science U., HAS Res. Center of Biology


Future of Hungarian Innovation /3/Future of Hungarian Innovation /3/(obstacles, Parragh, 2005)(obstacles, Parragh, 2005)

not enough source at Enterprises for Innovation general and not earmarked financing of research R D is not equal with Innovation (Innovation needs R

D) there is not a Nation-wide scientific-innovation policy 2/3 of Innovation Fund used for general financing of State

HEIs (because of underfinancing) GDP for R D only 0,89% (decreasing from 2002) very low rate of graduated in science and technology there is not organised interest for innovation activity preferation of applied research activities from 1000 employed 3-4 researchers


Definition of the Concept(only from 1983~ ‘new production’)

innovation: -a new or significantly improved production technology

-a new or significantly improved methods or supplying services and of delivering products

the course of innovation:

→University →spin-off →enterprisesource of →Research Inst. →spin-off →enterprisenew ideas →Enterprise →exp. dept. →own. enterprise


About innovative enterprisesAbout innovative enterprises (spin-offs in Hungary)(spin-offs in Hungary)

Definition: a small enterprise, established for utilisation at UNI or at Public Res. Inst. originated intellectual property

Situation: lot of newly formed intellectual properties, utilisable research results but-not enough high motivation-lack of managing competencies-lack of confidence-lack of host/parent institutes (joint) interests,-no stimulation from state, from parent instittutional side-lack of financing conditions (assuring the space, the

infrastructure, incubation and contracts ofutilisation)


Spin-off’s in HungarySpin-off’s in Hungary

Some obstacles: -low-paid scientists-more subjects than researchers(20.000 manpower/ 27.000 subjects)-single-handed battle-lack of team-works-shared financing between HEIs and

Hungarian Academy of Sciences-select of researchers not efficient: -researchers’ subjects instead of

subjects researchers-finished and marketable products are not

the final aim


Lisbon Strategy /2000. March/ in HungaryLisbon Strategy /2000. March/ in Hungary

1st January 2004 Research and Technology Innovation Fund (Act) 1st January 2005 Act for Innovation

Results of Summing up Innovation among Enterprises (2003)

-19% of total Enterprises *> 50 employees 17%*>250 employees 41%

-type of innovation *only product 47%*only procedure 13%*product+procedure 23%*unfinished 17%

-driving force of innovation: increasing social demands


The Sphere of Enterprises in Hungary

Nr of registered Firms » 1 million

Nr of active Firms ~ 0,85 millionfrom this ~ 1 thousand big

Companies, whilethe others are SMEsfrom the SMEs ~ 65% act under

pressure (1-2 persons)

able to be innovative: few thousands


Manpower degree of SupplyManpower degree of Supply(source: Hungarian Innovation League statistics, 2002)(source: Hungarian Innovation League statistics, 2002)

In Innovation

< 50employee

s

51 – 250employee

s

251 <employee

s

total

0 80 82 76 80%

1 – 5 17 12 16 15%

6 - 3 6 8 5%

total 100 100 100 100%


Expectations of Enterprises for Innovation from Expectations of Enterprises for Innovation from different Organisationsdifferent Organisations (Econ.Res. Inst. 2002)(Econ.Res. Inst. 2002)

Innovative Organisation

< 50

employees

51 – 300

employees

301 - <

employees

Total

HEIs in Region 20% 19% 30% 21%

National R&D 10% 12% 13% 11%

Nat. Info. 18% 20% 24% 20%

Patents Office 4% 3% 4% 4%

Nat. Enterpr. 27% 29% 19% 26%

Foreign Parent Co.

12% 17% 19% 15%

Other Foreign Co.

8% 10% 10% 9%


Handover of Research ResultsHandover of Research Results(Econ. Res. Inst. 2002)(Econ. Res. Inst. 2002)

Way of Handover

HEIs

Res. Inst.

HAS

Res. Inst.

Enterprise

Res. Lab.

Total

Patent selling 15% 15% 62% 19%

Essay to Nat. 42% 46% 38% 44%

Essay to Enterpr.

40% 38% 62% 40%

Essay to Internat. Org.

20% 31% 15% 2%

New product selling

13% 11% 62% 18%

Engine selling 6% 15% 38% 11%

Publication 89% 88% 69% 86

Teaching 62% 50% 46% 59%


Creating an Organisations for Developing the Innovation: Creating an Organisations for Developing the Innovation: The Central and SE-European Innovation Area (2004)The Central and SE-European Innovation Area (2004) (G. Fayl – U. Fayl, 2004)(G. Fayl – U. Fayl, 2004)

CEIA will lead to more dynamic progress towards a knowledge-based economy and society.

CEIA will contribute to produce high knowledge-content goods and services, rather than a cheap labour-cost, will raise confidence in the Region and attract further foreign and domestic investments.

CEIA try to activate the knowledge producing HEIs in developing their innovation efforts.

CEIA try to promote direct and non-political dialogue in the region – fort he regional stabilisation


Creating an Organisations for Developing the Innovation (2): Creating an Organisations for Developing the Innovation (2): The Central and SE-European Innovation Area (2004)The Central and SE-European Innovation Area (2004) (G. Fayl – U. Fayl, 2004)(G. Fayl – U. Fayl, 2004)

CEIA promotes direct co-operations between regions, offering a more active and better competitive participation in the globalisation process

CEIA enhanced the importance of co-operations among regions, with some illustrative examples in Central European HEIs: Kosice-Krakow-Miskolc, Cluj-Debrecen-Oradea, Arad-Beograd-Novi Sad-Szeged-Timisoara, Koper-Ljubljana-Maribor-Pécs-Zagreb, Bratislava-Győr-Komarno-Sopron-Vienna

CEIA would suggest the widening the transfer of expertise from neighbouring regions, notable Austria, Germany, Greece and Italy

CEIA later would support some joint projects will include regions of other parts of SE-Europe (Albania, Bosnia-Herzegovina, Macedonia, Serbia and Montenegro)


CEIA consists of two organisations:

Consortium: -open, non-legal framework

-formulating policy and strategic advice

-promote networking among HEIs, regional offices,

research institutes, innovation centres, industry

-participating of 17 organisations of various size

Associations: -independent legal entity (registered in 2004, Budapest)

-monitor public calls (EU, national, other) providing

financial support for joint transregional projects

-organise international meetings about regional

innovation initiatives, strategies and policies

Creating an Organisations for Developing the Innovation (3): Creating an Organisations for Developing the Innovation (3): The Central and SE-European Innovation Area (2004)The Central and SE-European Innovation Area (2004)(G. Fayl – U. Fayl, 2004)(G. Fayl – U. Fayl, 2004)


Members of CEIAMembers of CEIA

Budapest Uni. of Technology and Economics European Academy of Science and Art Expansion: Human Advisor Ltd Hungarian Rectors Conference Hungarian EU Project Office Innostart:National Center of Business and Innovation Hungarian Innovation League HAS World Economy Research Center HAS Reseach Institute of Sociology HAS Center of Regional Research Fundation of Science and Technology Budapest Business School University Miskolc League of Industrialist


Future of Hungarian Innovation /1/Future of Hungarian Innovation /1/

Speed of Innovation in European Countries*closing up: SLO, H, P, CZ, LTV, GR, Cyprus,

Malta*lagging behind: Estonia, Esp., BG, PL,

SLOV,RO, TR*closing up 20 years: H, SLO*on the top: SCH, FIN, Sweden, DK, D*EU USA more than 20 years*National Economical Efficiency is a function of

development of innovation

the role of innovation in the hungarian university system

Documents

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