presentation done by elizabeth waelbroeck rocha
TRANSCRIPT
TCIAnnualConference– Delhi– 2010 1
Clusters101Advancedlearningworkshoponclusters
Whatisacluster?Whyareclustersimportant?
ÉlisabethWaelbroeck-RochaPartner,BIPEMemberoftheBoardofDirectorsofTCI
Delhi,November29,2010
TCIAnnualConference– Delhi– 2010 2
THE COMPETITIVENESS INSTITUTE is a non-profit,global network of cluster practitioners created in 1998, dedicated to facilitating the spread and success of cluster-based and innovation competitiveness initiatives through networking, research and training
activities
WhatisTheCompetitivenessInstitute?
Inauguration of TCI facilities on Nov. 5th, 1998
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OBJECTIVES
� Promote cluster-based competitiveness and development strategies
� Improve the methodologies for enhancing the competitiveness of clusters
� Raise the professional level of cluster development practitioners
“THE COMPETITIVENESS INSTITUTE’s mission is to improve living standards and local competitiveness of regions across the world by enhancing
cluster-based development initiatives”
MissionandObjectives
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TCINetwork:Acommunityof1.700practitionersin98countries
TCIAnnualConference– Delhi– 2010 5
TCIOrganizationalMembersNon-profitorganizations,governmentagenciesandmultilateralorganizationsdedicatedtofosteringeconomicdevelopmentparticipatingaseconomicsupportersofTCINetwork.
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� Annual Global Conferences
� Regional Conferences
� Networking
� Research and knowledge dissemination
� Cluster-related knowledge management services
MainActivitiesofTCI
TCIAnnualConference– Delhi– 2010 7
OurValues
� Excellence� TCIwasfoundedtoimprovethequalityandstandardsofexcellenceincompetitiveness,cluster
developmentandregionalandnationaleconomicdevelopmentandiscommittedtopreservingandcontinuallyraisingthestandardsofexcellenceofitsmembersandoftheorganization.
� Transparency� TCIconductsitsaffairswithprofessionalism,opennessandtransparencysothatallmembersandthe
outsideworldcanclearlyseeitsobjectives,activities,eventsandworkingmethods.
� Participation� TCIencouragesmemberparticipationbyfosteringopportunitiesforlearningandforpresentingandsharing
theirexperienceinTCIevents.
� Inclusiveness� TCIactivelyreachesoutandinvolvespeopleofallcontinents(andislands),nationalities,culturesand
genderssothatmemberscanbeenrichedbyglobalperspectives.
� Respect� WithnodiminishingofTCI’scommitmenttoqualityandexcellence,TCIhasahighlevelofopennessto
differentstrategies,techniquesandnon-traditionalapproachesandthereforeaccommodatesavarietyofschoolsofthoughtwithanattitudeofrespect.
� TheValueofNetworking� TCIbelievesthatnetworking--fosteringlinkagesamongpeopleandfacilitatingthefreeexchangeofideas
amongregions--isabothapowerfulmeansandanendinitselfinthenewrelationshipsformedandnewinitiativesundertaken.
� SocialPurposeandImpact� Apartfromimmediatebenefitstomembers,TCIhasahighersocialpurposeofmakingamajorimpacton
theoryandpracticeofeconomicgrowthcontributingdirectlytoimprovedhumandevelopmentandbetterstandardsofliving—andtoextendingthisimpacttoregionswherethisunderstandingismostneeded.
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Whatisacluster?????
� Clustersaregeographicconcentrationsofinter-connectedcompanies,specialisedsuppliers,serviceprovidersandassociatedinstitutionsoperatinginaparticularfield
Michael Porter
TCIAnnualConference– Delhi– 2010 9
Whatisacluster?????
� Clustersaregeographicconcentrationsofinter-connectedcompanies,specialisedsuppliers,serviceprovidersandassociatedinstitutionsoperatinginaparticularfield
� Clustersaregroupsofindependentcompaniesandassociatedinstitutionsthatare:� Collaboratingandcompeting(coo-petition)� Geographicallyconcentratedinoneorseveralregions,eventhoughtheclustermayhaveglobalextensions
� Specializedinaparticularfield,linkedthroughcommontechnologiesandskills
� Eithersciencebasedortraditionnal� Clusterscaneitherbeinstitutionalized–(thereisaclustermanagementstructure,or« clusterinitiative »),ornon-institutionalized(informal)
Michael Porter
EU Expert Group
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Theclusterpyramid
Exportorientedindustries/service
providers
Equipment,servicesandmaterialsproviders
Relatedandsupportingindustries&services
Economicinfrastructure
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Theclusterpyramid
Exportorientedindustries/service
providers
Equipment,servicesandmaterialsproviders
Relatedandsupportingindustriesandservices
Economicinfrastructure
Education systemPublic research Regulatory
frameworkTransport Financial
system
Housing, communication, etc.
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Agglomeration
Clustersareeco-systems:theynaturallyevolveandtransformTheclusterlifecycle
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Agglomeration
Emerging cluster
Clustersareeco-systems:theynaturallyevolveandtransformTheclusterlifecycle
TCIAnnualConference– Delhi– 2010 14
Agglomeration
Emerging cluster
Developing cluster
Clustersareeco-systems:theynaturallyevolveandtransformTheclusterlifecycle
TCIAnnualConference– Delhi– 2010 15
Agglomeration
Emerging cluster
Developing cluster
Mature cluster
Clustersareeco-systems:theynaturallyevolveandtransformTheclusterlifecycle
TCIAnnualConference– Delhi– 2010 16
Agglomeration
Emerging cluster
Developing cluster
Mature cluster
Transformation
Clustersareeco-systems:theynaturallyevolveandtransformTheclusterlifecycle
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Keypointsonclusters
� Whydocompanies’cluster?� Whatdoesclusteringbringthem?
� Whyareregions/countriesinterestedinclusters?
� Whatdoyoudowithclusters?� Iftheprocessoccursnaturally,whyshouldonegetinvolved?
� Canclustersbe« created »?� Howcanonehelpthemgrow?
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1.Whydocompanies« cluster »?Thetheoreticalbenefitsofclustering
Companies’ objectives
Profits, Growth
Improved quality/price ratio
Increased market volume
Risk reduction and risk control
Cost reductions
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Whydocompanies« cluster »?Thetheoreticalbenefitsofclustering
Companies’ objectives
Profits, Growth
Improved quality/price ratio
Increased market volume
Risk reduction and risk control
Cost reductions
Increase competitiveness
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Whydocompanies« cluster »?Thetheoreticalbenefitsofclustering
Economies of scale
Economies of scope
Vertical integration
Move up the learning curve
Differentiation / specialisation effect
Creation of barriers to entry
New markets
New products
Increased market share
Increased third party trust
Risk associated to competition
Clusters can bring :Companies’ objectives
Profits, Growth
Improved quality/price ratio
Increased market volume
Risk reduction and risk control
Cost reductions
TCIAnnualConference– Delhi– 2010 21
Indirectbenefitscanalsobegenerated
� Oneneedstodistinguish:� Directeffects
� Riseinsales,betterfinancingconditions,mutualisedcosts,…
� Indirect(spill-over)effects� Easieraccesstospecialised/trainedstaffthankstoincreasedattractivenessofregion,increasedsalesthroughspill-overeffectsonclients/end-users,lessstrainonresources,…
� Externalities� Positive:entrepreneurialclimate,informalknowledgeexchanges,image,resourcecreation,increasedchoicethankstoscaleeffects
� Negative:strainonresources(includingHR),increasedenvironmentaldegradation,risinghousingprices,congestion,lossofcontrolofcertainfunctionswhichhavebecomemutualised…
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Practicalexperiences/feedbackfromcompanies
� Experienceshowsthatparticipatingtoaclusterenablescompaniesto:� Attainobjectivesthattheywouldnothavemetindividually,intermsofprofitabilityorgrowth
� Exchange,sharegoodpractices� Accelerateinnovation� Increaseself-confidence� Developtrust� Shareresources/meanstocreate,protectorimproverent(profits)
� Reduceoreliminatecertaincosts� Improvetheprice/qualityratio� Increasesales� Control/reducerisk,includingtheriskfromcompetition
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Differenttypesof« clusters »
Typesofclusters
� Industrial� Services� Urban� Rural� Hightechnology� Traditionnal� Etc…
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Differenttypesof« clusters »
Typesofclusters
� Industrial� Services� Urban� Rural� Hightechnology� Traditionnal� Etc…
Mainobjectivesofclusters
� Increasesales(exports)
� Createjobs
� Fosterinnovation� Developnewmarkets/newproducts
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2.Whyaregovernments’interestedinclusters?
� Althoughclusteringismostlyaboutcompanies,regionsandgovernmentsworldwideareincreasinglyfosteringclusters
è clusterpoliciesasanaturalevolutionfromtraditionalindustrialpolicies?
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Whatclusteringbringstoregions
� Clusteringprocessesareviewedashavingthepotentialto:� Restore/enhancecompetitiveness� Reinforcetheinnovationcapability� Increaseattractivenesstoinvestors� Transformaviciouscycleintoavirtuouscycle
� Lowgrowthè littlerevenuegenerationè poorqualityinfrastructureè capitaloutflows,braindrainè lossincompetitivenessè lowgrowth
� Reinforcementofcompetitivenessè fasterfrowthè revenuegenerationè economicinfrastructuredevelopmentè FDI,HRdevelopmentè improvedcompetitiveness
� Potentialside-benefits:reducevulnerabilitytodownturns?
TCIAnnualConference– Delhi– 2010 27
2001199719921980
Selected regionsandcountrieswithcluster-baseddevelopmentinitiatives +
-
Emilia-RomagnaToscana(industrial-districtsbasedpolicies)....
EuskadiScotlandChihuahuaArizonaCatalunyaMassachussets
MoroccoNewZealandCostaRicaCalifornia....
SwedenTurkeyLithuania
AustriaJordanMéxicoSouthAfrica....
FranceEstoniaDenmarkSloveniaUKMinasGerais(BR)...
1990 2003 2006
PakistanKazakhstanPoland….
(*)Datafrom“TheClusterInitiativesGreenbook– IIedition”,2006(**)EuropeanClusterObservatory,2009
Clusterreinforcementinitiativesworldwide
ParaguayRioNegro(AR)….
2009
ILLUSTRATIVENOTEXHAUSTIVE
Approx. more than 1.400 initiatives from countries and regions all over the world (*)
Over 1.100 clusterorganizations only in Europe (**)
TCIAnnualConference– Delhi– 2010 28
Companiesandregionsdonotnecessarilysharethesameobjectives
Regions� Developtheregion’s«image»,itsidentity
� Enhancetheregion’sattractiveness
� Createjobs� Solve(existingorperceived)problems
� Allocateresourceseffectively
Companies� Growtheirbusiness
� Generateprofits
� Control/managerisks,reduceuncertainty
Managing a cluster means navigating in turbulent waters, with currents pulling the boat in different directions
This is what this conference is all about ….
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Measuresofsuccessarenotthesameforregionsandforcompanies
Regions� Increasedcompetitiveness
(reducedprices/marginscomparedtocompetition)
� Increasedshareofworldmarket(irrespectiveofhowmanycompaniesmake-upthisshare)
� Employmentcreation� Incomegeneration(taxes)� Newcompanycreation
� Futureincomecreation
� Maintenanceorestablishmentofahealthycompetitiveclimate
� Morefluid/flexiblelabourmarket
Companies� Increasedprofitmargins
� Costreductions� Lowerinputcosts,lowHRcosts
� Abilitytoprotectsellingprices� Passcostincreasesintoprices� Reducecompetition
� Increasedsales� Improvedprice/qualityratio� Openingofnewmarkets
� Geographical,product
� Lowerrisk� Operational,strategic� HRrelated(mobility,skill
depletion)
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Source: Etzkowitz (2002)
ThekeystakeholdersinaclusterinitiativeThetriplehelix…
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… orthequadruplehelix
Finance
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Everywhere,the objective of cluster policies is to
increase competitiveness
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Increasingly,innovationisrecognizedasthekeytocompetitiveness
� Informalexchangesthroughclusteringaretremendousfacilitatorsofinnovation
� Inmatureeconomies,clusterpolicieshaveincreasinglybecome« innovation »policies
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Theimportanceofplaceandnetworksforinventionsandinnovation
Whyisinnovationimportant?
Ø BecauseitiskeytoincreasesinproductivityØ Higherproductivitylevelsarethebasistorealwagesgrowth,
hencetoahigherlevelofprosperityforaterritory,aregionoranation
Ø Becauseinnovationandinventionsmakeitpossibletogrowexistingmarketsandcreatenewones
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Thekeytoinnovation(1)
Ø Innovationisa“teamsport”andalongtermrun
Ø InnovationisasocialprocessØ Socialcontextandentrepreneurialorientedculturearekeyfor
thedevelopmentofinnovation
Ø Inventionsandinnovationrarelyoccursinisolation
Ø Innovationisplace-based
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Ø “Itisnottheingredients,buttherecipe” (P.Romer,A.Saxenian,..)
Ø…butthesamerecipedoesnotperformthesameindifferentplaces,soitisimportanttoworklocally andtobuildlocaldistinctiveadvantages
Ø Tacit-knowledgeinterchangeandface-to-faceinteractionarekeytoincrementalinnovation
Ø Clustersaretheplaceinwhichthishappenseasier;theyareanidealunitofworkforpolicymakers
Thekeytoinnovation(2)
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Ø Theadded-valueofclustersininnovationprocess(*):
§ betterperceptionofnewbuyers’need§ earlydiffusionofnewtechnologies§ strongrivalryamongcompetitors§ quickerknowledgecirculation(“cafeteriaeffect”)§ strongersupportfromexternalagents(government,universities,etc.)
(*)partlybasedonM.E.Porter,OnCompetition,1998.
TCIAnnualConference– Delhi– 2010 38
Somelessonsandkeypointsfrompreviousconferences(I)
� Veryimportanttodistinguishclearly:� Clusters� Clusterpolicies� Clusterinitiatives� ClusterAssociations
� Clusterinitiativesaregrowingdramatically:� 2003:Morethan500� 2008:Morethan2.500
� Itlookslikeifsomethinggoodishappeningaroundtheseclusteringideas!!(evenifmeasurementandassesmentarehardpoints)
TCIAnnualConference– Delhi– 2010 39
Somelessonsandkeypointsfrompreviousconferences(II)
� Clustersareaboutpeople,competition,cooperation,competitiveness,makingmoney,survivinginthelongterm,emulatingthebigcompanies,trust,talent,heart,courage,…
� è Neverunderestimatethe“humanfactor”!
� Companiesinvolvementisakeyfactorforsuccess,asitis…
� Agoodfacilitator
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Somelessonsandkeypointsfrompreviousconferences(III)
� Governmentsplayanimportantroleintheimplementation
� Sharedvision,withoutitisverydifficulteventoknowtheobjectivestobereached
� It’sbetteropenthanclose,trustthandistrust,sharingthanbeingislands
� Moneyisimportant,butitisnotthemainfactorforthesuccess(thinkabouttrust,coherence,…)
TCIAnnualConference– Delhi– 2010 41
Somelessonsandkeypointsfrompreviousconferences(IV)
� Failurescomefromalackofconsensus,weaksharedframeworks,andbadfacilitators.
� Itisimportanttomaintainastrongsenseofreality.Everystartingpointisdifferent,everywayisdifferent.
� Itisareallongtermjob,thatneedspatienteandcannotberushed(andwhataboutpoliticalcycles??)
� Strategyisthekey!!Clustersareforwhatreallymatters.
TCIAnnualConference– Delhi– 2010 42
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