International ConferenceFostering and building human capital for sustainable

knowledge societies in South Eastern Europe

Workshop

Human capital contribution

to regional development

Towards learning regions and communities

Bucharest, March 6, 2009

What makes a region innovative?

Introduction: Topical issues and definitions

Josef HochgernerCentre for Social Innovation, Vienna

• Region• Innovation• Development• Human capital• Innovative region

Components of innovative regions ...

Development

Human capital

Innovation

Region

Understanding in the case of the workshop:

• Intra-national and• Cross-border regions

Objectives: • Decreasing disparities?• Growth & trickling down?

Measures / policies:• Improving tangible and intangible infrastructure• Ownership & investment

Comprehensive concept of innovation:

Effective solutions in technology, economy and social systems –

adapted to regional requirements and specific capabilities

„Acquired and useful abilities“ – in particular knowledge.

Improving human capital is a necessary but (alone) insuffcient pre-condition to fully gain benefits from the knowledge triangle (educ./research/innov.)

... embedded in the„Learning Society“

Puts knowledge at the core of society

Innovative regionBasic Essentials

• Strategy formation (analysis for finding a vision and strategic objectives)

• Policy deployment & implementation of practices (tools, governance, money)

• Practices at programme and project levels (management, monitoring, use results)

Lessons learned from case studies in comparison and benchmarking

• Awareness among stakeholders and continuity of processes

• Networking in the region, supporting bottom-up initiatives (critical mass!)

• Innovation in the centre of a vision, assignment of funding for RTDI (Research, Technology Development and Innovation)

• Accountability of decision makers, requires independent evaluation

• Learning in public and private institutions (incl. NGOs) necessitates stimulation and facilitation – focus in education on professional training for all age groups

Three legs of the „knowledge triangle“:research innovation

education

The „ProAct policy learning cycle“Essentials to create an innovative region

Strategy formation

Practices at the programme level

Policy deployment and implementation

„ProAct“ is the abbreviation for „Practical Regional Research and Innovation Policy in Action“,a project that has been supported by the European Commission under the 6th Framework Programmein its specific programme „Regions of Knowledge II“. - Information: http://www.proact-network.net

Definition of the „Learning Society“

„The learning society puts knowledge at the core of society with a new mode of production and consumption where knowledge is the predominant source of value-added with new rules of governance and distribution.

The learning society increases people’s degrees of freedom by giving people more effective means for

using their competencies.“

Irish EU Presidency Conference on “Foresight for Innovation”,

European Foundation for the Improvement of Living and Working Conditions, Dublin , 2004

„Learning Regions as instrument for regional

innovation“

Klaus ThienAustrian Institute for Adult Education

What are Learning RegionsLearning Regions?• „„Learning regions“Learning regions“ means the networking of different

regional stakeholders with the aim – To adjust demand & supply in the fields of research & learning – To improve human capital and the regional knowledge base– To foster concrete cooperation = projects

• Stakeholders come from– Research, education: universities, educational institutions– Economy: enterprises, SMEs– Governance: GOs, regional development agencies

• Strategic approach in the fields of Research & Learning– Status quo, goals, means

The Learning RegionLearning Region Cycle

Strategy formation

Network

(incl. policy deployment)

Practices =

Projects

Principles• Knowledge & human capital are ressources for

economical, social and cultural welfare / qualitiy of life in post-industrialized societies

• Regional approach has certain advantages

• Endogenous potentials are used

• Bottom-up-principle ist kept network

• Cooperation of different fields fosters development of a „creative milieu“

• „Regional reflection“ (identity, SWOT) is part of the future-fitness

Learning RegionsLearning Regions in Austria• Focussed on „life long learning“

• Main Goal ist to „bring education nearer to the people“ (spatial, mental, social, barrier-free)

• Outcome are Trainings, Councelling, Marketing, Knowledge Management et al.

• Learning of individuals, institutions and the region as a whole is intended

• Small Regions - LEADER-Regions (below NUTS3) Networks can be handled (< 40 members)

• Part of the European Programm for Rural Development 2007-13 Only rural regions

• Cooperation with other Programms (esf)

• Strategy formation within 3 to 9 months

Lessons learned from case studiesin comparison and benchmarking

• Awareness among stakeholders and continuity of processes importance of management & confidence building

• Networking in the region, supporting bottom-up initiatives (critical mass!) networks are accessible, responsibility for networking (management)

• Innovation in the centre of a vision and assignment of funding strategy is the structural core of the Learning Region

• Accountability of decision makers, requires independent evaluation integration of policy into networks

• Stimulation and facilitation of learning in public and private institutions (incl. NGOs) institutional learning ist provided by interchange of network-members

Overview of the three policy learning processes: Identification of „areas of practices“ and „benchmarks“

Policy learning process 1: „Strategy formation“ 6 areas of practices: Finding a vision, stakeholder involvement, coordination, emphasis on innovation, balancing regional-national-EU-policies, dealing with risks

15 Benchmarks, highlighting the practices in more detail (an example follows)

Policy learning process 2: „Policy deployment & implementation“

Policy learning process 3: „Practices on programme level“

6 areas of practices: Research & innovation programmes, governance principles, networking of organisations,

finances: „The way the money goes“, evaluation, learning & feedback loops

12 Benchmarks, highlighting the practices in more detail (an example follows)

7 areas of practices: Decision on programs & initiation, transparent proposal calls, management responsibilities,

documentation, monitoring, auditing, sharing project & programme experiences

12 Benchmarks, highlighting the practices in more detail (an example follows)

1st Example of benchmarksFrom policy learning process 1: „Strategy formation“, Area of practice: „Stakeholder involvement“

(1 of the 3 benchmarks in this area)

Benchmark:„Important stakeholders are involved in finding the vision and the main strategies“

The practice exists sufficiently, if• All the stakeholders take part in the strategy design process; and

• Their views are taken into account in the regional strategic documents, and

• The main elements of the consolidated strategy are accepted by the stakeholders

The practice exists partially, if• There are some important stakeholders whose views are not taken into account; or

• Some stakeholders were asked, but their views are not refelcted in the documents

The practice does not exist, if• Stakeholders were not consulted when the region‘s vision / strategy was drafted

2nd Example of benchmarksFrom policy learning process 2: „Policy deployment“, Area of practice: „The way the money goes“

(1 benchmark in this area)

Benchmark:„Appropriate financial governance“

The practice exists sufficiently, if• The financing of regional programmes is fluid (i.e. no obstacled or bottlenecks); and/or

• The budgetary situation of the region is stable which contributes to the programmes being financed

The practice exists partially, if• While the budgetary situation of the region is stable, financing some programmes is not guaranteed

The practice does not exist, if• Programmes and projects are under-funded

3rd Example of benchmarksFrom policy learning process 3: „Practices at programme and project level“, Area of practice: „Audits“ (1 of 2 benchmarks in this area)

Benchmark:„Audit systems are in place“

The practice exists sufficiently, if• Programmeaudits take place; and

• There are (will be, if necessary) consequences of audits

The practice exists partially, if• There are programme audits but no consequences take place; or• For some programmes audits take place while other programmes do not implement audits

The practice does not exist, if• There are no audit systems

Questions

• Which term of “region” is useful for networks in the field of knowledge, learning and innovation in SE-European countries?

• Is regional development in SE-European countries a question of developing human capital at the moment?

• If yes - Is „LEARNING REGIONS“ a model that should/can be used in SE-European countries? Which barriers exist?

• Is the introduced model of policy-processes, areas of practices and benchmarks useful to identify the main factors for regional development?

• Which institutions, infrastructures and policies can be found in SE-European countries for establishing LEARNING REGIONS?

• Which cultures of institutional trust and cooperation exist?• What are the first steps to introduce LEARNING REGIONS?

Thank you for your attention!

Josef Hochgerner

Centre for Social InnovationLinke Wienzeile 246

A - 1150 Vienna

Tel. ++43.1.4950442Fax. ++43.1.4950442-40

email: hochgerner@zsi.athttp://www.zsi.at

Klaus Thien

Austrian Institute for Adult EducationSchimmelgasse 13

A – 1030 Vienna

Tel. ++43.1.5322579-11email: klaus.thien@oieb.at

http://www.oieb.at