Evaluation of BSR Stars Innovation Express 2015 projects - - PowerPoint PPT Presentation

Evaluation of BSR Stars Innovation Express 2015 –

projects implemented in 2016-17

Summary of Key Messages and Case Stories

Overview of Results and Key Messages from the Evaluation

Five Key Messages 1. Cluster organizations continue to be viewed as an effective instrument to support SME internationalization – providing support and activities are that are well- aligned with SME needs. 2. Several different internationalization models are pursued. Some focus on strengthening export and globalisation, while others focus on developing research collaboration

• r building transnational platforms between clusters.

3. The most successful approaches combine aspects of several models – offering a tailored package of services to a targeted group of SMEs, and planning in time for follow- up and coaching with SMEs. 4. Innovation Express projects deliver useful results for SMEs – providing new knowledge and inspiration and initiating relations with new partners. SMEs view this as a helpful ”first step” that may lead to longer-term commercial or innovation collaboration. 5. The Innovation Express concept is perceived as a valuable instrument that fills a gap in existing support to international collaboration. It is quick, simple and enables actual involvement of SMEs in international activities that are tailored to their needs.

27 Innovation Express projects implemented in 2016-17 Involving 64 clusters and more than 1100 SMEs from 17 countries Implementing various approaches to internationalisation New knowledge, partners and international opportunities for 71% of participating SMEs Initiation of longer-term innovation collaboration or commercial contracts for 15% of participating SMEs Resulting in...

Innovation Express – aims and approach

• Addressing shared policy objectives for SME

internationalisation and transnational innovation collaboration (interregional S3)

• Using a common approach encompassing a

joint call, matchmaking event and learning activities – coordinated by the Danish AIEG, as part of the BSR Stars flagship

• Leveraging cluster/network organisations to

mobilise SMEs and tailor project activities to identified needs

• Providing ”seed investments” (between 10-

60.000 EUR per project grant/country) for short-term collaborative projects (12-18 mo)

• IE call in 2015 resulted in 27 collaborative

projects, involving 64 clusters and more than 1100 SMEs from 17 countries

– Of the 64 clusters, 40 were funded applicants – 8 BSR countries + AT,BE,FR,GR,ES,PT,UK,US, Singapore

Questions addressed by the Evaluation

• What internationalization support activities are most in demand by SMEs?
• Are cluster/network organizations helpful in understanding SME needs,

identifying opportunities, mobilizing and catalyzing SMEs’ international activities?

• What results do SMEs get out of Innovation Express projects?
• What are the different approaches used and models for

internationalization of SMEs through clusters?

• Is the ”Innovation Express” approach (i.e. lower financing levels, quicker

time to decision and short time to act) attractive and effective for fostering SMEs’ internationalization?

• Does supra-national support (i.e. common brand and coordination, joint

matchmaking event, top-up financing for ’joint purposes’, etc.) provide added value?

The evaluation provides evidence of the value-added of Innovation Express projects for SMEs, and highlights the continued support for this approach as an efficient way to facilitate linkages and initiate transnational collaboration – testing relevance for SMEs before investing in more ambitious and longer-term activities with international partners.

Approach to data collection

• Survey to cluster organisations/project owners (31 respondents)
• Survey to participating SMEs (target of 3 per project) (124 respondents)

NOTES: No responses from Lithuania, as the cluster organisation (and project) closed. Responses from SMEs above # of targeted SMEs in DK as received responses from more than 3 SMEs in several projects.

• Analysis of documents and limited interviews (8) to develop case

stories

SMEs’ view access to new international contacts and new knowledge/inspiration as most helpful

“The support we're receiving is particularly important for us towards the fulfillment of our needs and ambitions of tapping into new markets...(it) allows a more robust and structured networking to be achieved.” Essensus, SME within CLEAN, DK

Observations (relative to 2014 Eval):

• Networking/access to new

international contacts stands out as the most useful service for SMEs (is this always the main focus of SMEs in clusters?)

• Slight decrease in ”exposure to
• pportunities in other fields”

(relative to last year)

Internationalization support provided by cluster

• rganisations is well-aligned with SME needs

“The cluster has helped analyse the needs and find external expertise for our efforts.” Erkers Möbler, SME within IUC Dalarna, SE “We have achieved some really good contacts in the matchmaking

• process. The specific profile that LD Cluster made with us helped

identify the best possible partners.” Fantini, SME within Lifestyle and Design cluster, DK

Observation (relative to 2014 Eval):

Not quite as positive as previous years

More than 65% of SME respondents viewed knowledge sharing and opportunity identification, and access to new partners as the main results.

Innovation Express projects deliver useful results for SMEs

Even though Innovation Express projects are short and focus on initial mobilisation and exploratory activities, a substantial number

• f SMEs indicate that projects

also result in the initiation of longer-term research and innovation collaboration or commercial contracts.

Project results are similar over time

Observations (relative to 2014 Eval):

• Generally the same pattern: a strong

focus on exploratory activities in international markets, with 1 out of 6(ish) companies also reporting commercial results

• Slight decrease in ”initiation of

longer-term research and innovation collaboration” (relative to last year)

SMEs report a range of results

“By attending WIN Nordic meetings, we have exposed our company which made us start working with international partners, which in turn can lead to joint applications of EU funds. We have also improved our own knowledge of how the market segment in the water industry looks and what interest exists for the type of products we develop.” 4IT, Swedish SME within Nordic WIN “The meetings in Catalonia and Sweden helped us to access to new networks and strengthened our visibility in these Nordic markets.” AMPHOS21, SME within Catalan Water Partnership “The company has started internationalisation in this project. The project has given us the opportunity to showcase us and our products in an international market. We have been able to make ourselves visible and find new markets. Today, it is too early to say if the efforts will lead to business, but it feels like a stable start.” Ekers Leksandsstolen, SME within Bygg Dialog/IUC Dalarna, SE “The network organisation helped organise a Eurostars application. We will be applying for a Eurostars project - focused on bio-based building materials - in September 2017.” Burnblock, SME within InnoBYG cluster, DK “We created contact to two new Spanish customers, and we are now doing business with them. We also renewed our contact to an existing customer in Iceland, tripling our business with them.” BOCO Seafood, SME in FoodNetwork, DK

Innovation Express is a pragmatic instrument for SME internationalisation

Three quarters of participating SMEs reported that they would not have pursued the international activities without the proactive opportunity identification, legitimate frame and stronger international visibility, and financial and other support provided by the projects.

“It would have been too expensive to take on as a 1-person

• company. Also the network with other Danish companies would

have been impossible for me to attain on my own.” “We probably wouldn’t have pursued (international activities) in the short term. As a small firm, we need to execute operations in a lean manner. Being part of a group enables us to pursue

• pportunities beyond our capacity.”

Cluster organisations echoed this sentiment – highlighting that IE projects provided the resources to quickly mobilise actors and initiate activities, and offered a ”lower risk test” (lower financing and shorter time periods) of new international collaboration.

“IE provides a different value proposition in comparison to other available forms of support such as EEN and Danish trade councils in foreign countries. The main difference regards the possibility of empowering cluster organisations to directly access local cluster

• rganisations in potential export markets and to directly involve

Danish SMEs.” (Offshore Energy cluster, DK) “Nordic countries are interesting for the Catalan Water Partnership and its members. However, without the matchmaking event and the BSR financial support, it would have been much more difficult to collaborate with them and to identify synergies and opportunities.” (CWP, ES)

• SME globalisation via

clusters

• SME internationalisation

along the value chain

• Cross-sectorial innovation
• System export via complex

product solutions

• Transnational cluster

platforms

• Clusters supporting SMEs

international research

Various approaches and activities for internationalisation can be pursued

Case stories exemplified a combination

• f models in each project

Title of Case Story Name of project and cluster organisations involved Nordic Furniture Making – developing new markets for the “little guys” Nordic Furniture Making (NFM) Lifestyle and Design Cluster (DK) Norwegian Rooms (NO) Interior Cluster (SE) Building Sustainable Networks for more Sustainable Building Materials Sustainable building in circular resource economy (ecoConstruct) Ecoplus (AT) InnoBYG (DK) Tretorget (NO) Sustainable Infrastruture Cluster (PL) ByggDialog (SE) Nordic Water Network – moving beyond the Nordics Nordic Water Network – a platform for Nordic water business innovation (Nordic WIN) Vand i Byer (DK) Catalan Water Partnership (ES) Novago Business Development (FI) Clean Water Norway/Vannklyngen (NO) WIN-Water Innovation Accelerator (SE) Integrating SMEs in “Clean Solutions” in the Philippines Nordic Cleantech in Emerging Markets (SMEs in the Philippines) CLEAN (DK) Lessons from an Innovation Express “Lead User” Perspectives from Lifestyle and Design Cluster’s (DK) Experience with 10 Innovation Express projects (2013-2016)

Nordic Furniture Making (NFM) Internationalization model(s): SME globalisation via clusters and Transnational cluster platforms Partners: Lifestyle and Design Cluster (DK), Norwegian Rooms (NO), and Interior Cluster (SE) Aim: provide a common set of services and targeted international opportunities for micro enterprises Activities: engaged 60 companies and 6 knowledge institutions in three study trips (to each country) – including thematic seminars, networkworking and matchmaking Results: access to specialised knowledge and new network contacts

Developing new markets for micro companies

“In addition to new contacts and inspirational knowledge, we have heard from informal follow-up that some of our companies were also been able to secure new sales. This has given them confidence in continued internationalization efforts.” Jesper Rasch, Lifestyle and Design Cluster, Denmark

Sustainable building in circular resource economy (ecoConstruct) Internationalization model(s): SME internationalisation along the value chain, Transnational cluster platforms, and Clusters supporting SMEs’ international research Partners: InnoBYG (DK), Tretorget (NO) and ByggDialog Dalarna (SE) together with non-funded partners Ecoplus (AT) and the Sustainable Infrastructure Cluster (PL) Aim: help SMEs strengthen their knowledge and networks on bio- based building materials Activities: series of workshops (held in connection with matchmaking or other industry events) in each of the five countries involving 30 (hand-picked) SMEs Results: access to specialised knowledge, network contacts and new markets, as well as increased international visibility and new research and innovation collaboration

Building Sustainable Networks for Sustainable Building Materials

“Our company is resource-intensive, and we would not have had the possibility to explore new markets outside Sweden without project efforts. The project has given us the opportunity to make

• urselves visible and showcase our products in new international

markets.” Erkers Leksandsstolen, SME within ByggDialog, SE

Nordic Water Network – a platform for Nordic water business innovation (Nordic WIN) Internationalization model(s): SME internationalisation along the value chain, Transnational cluster platforms, and Clusters supporting SMEs’ international research Partners: Vand i Byer (DK), Clean Water Norway/Vannklyngen (NO) and WIN-Water Innovation Accelerator (SE) together with non-funded partners Catalan Water Partnership (ES) and Novago Business Development (FI) Aim: creating a network for stimulating and testing solutions as well as helping companies establish new international collaboration Activities: partner meetings four times per year (each offering new knowledge and market intelligence, company pitches, networking and facilitated matchmaking), joint booth at trade fairs Results: access to specialised knowledge and new collaboration partners, initiation of new research and innovation collaboration and commercial contracts

Nordic Water Network – moving beyond the Nordics

“(The project activities) have been very useful in helping us meet interesting new international companies and expand our networks. These broadened networks have led to new business.” Flocell, SME within WIN Water, SE

Nordic Cleantech in Emerging Markets (SMEs in the Philippines) Internationalization model(s): SME globalisation via clusters, Cross-sectorial innovation and System export via complex product solutions Partners: CLEAN (DK) and targeted buyers in the Philippines Aim: engage SMEs in broader international partnerships providing integrated energy-efficient solutions Activities: establishment of MoU with buyers, identifying and inviting relevant SMEs to participate in 6-month development process with other actors in various fields of expertise, leveraging other stakeholders, facilitating connections and integrating pieces into holistic solution (presented to buyer) Results: access to specialised partners/technology providers, integration within a holistic solution, and access to interested buyers in international markets – leading to new research and innovation projects and new commercial contracts

Integrating SMEs in “clean solutions” in the Philippines

“Through knowledge sharing and stronger ties, and cross- country project development, we can create stronger solutions that can be exported to the rest of the world.” Sophia Grane R. Schroeder, CLEAN cluster

Lessons from a “Lead User”

Lifestyle and Design Cluster’s (DK) Experience with 10 Innovation Express projects

Two IE projects that helped test and build a longer-term cluster partnership (still working together) Three IE projects that developed a transnational service offering for micro enterprises – broadening the country scope over time Two IE projects focused on

• ffering specialised knowledge

and first international

• pportunities to micro firms in

the furniture industry Each year, LDC tries to both build on tested concepts and partners, as well as initiate more ”experimental” projects – where they can test new internationalisation approaches and/or work with new partners

Internationalization model(s): SME globalisation via clusters, SME internationalization along the value chain, Cross- sectorial innovation and System export via complex product solutions Aim and Partners: driven by overall needs and priorities for action in their strategy, LDC teams up with other clusters who share similar perspectives on market opportunities (including societal challenges) and whose companies have similar needs for support Activities: each project includes a set of activities and tailored support services (e.g. study visits, inspirational workshops or trade fairs together with matchmaking, coaching and international networking), leveraging a mix of large and small companies, specialised knowledge and research actors Results: SMEs develop competencies, gain new knowledge and inspiration, as well as broaden their international networks and extend their value chains. The networks expand and deepen over time, which – for some – leads naturally into new sales and other types of results. The cluster develops stronger transnational partnerships – facilitating more ambitious and longer-term activities together

Lessons from a “Lead User”

Key Success Factors:

• International activities MUST be part of your cluster

strategy – anchored with your stakeholders and your Board.

• Develop and initiate projects based on your strategic frame,

while also being flexible to pursue interesting

• pportunities/activities that someone else proposes.
• It’s better to start small and build – both in number of

partners and number of SMEs involved.

• To build longer-term partnerships, it is good to have

homogeneous types of organisations with similar mandates and modes of operation…and that all partners invest in building mutual respect and results (for companies).

Innovation Express projects have served as successful catalysts of internationalisation

• More than 4000

SMEs

• Nearly 200 (unique)

clusters, as partners in nearly 300 projects

• From 22 countries

(BSR, Europe and beyond)

SME and Cluster involvement in Innovation Express projects (2013-2016)

There is support for building on strengths and developing the concept in continued implementation

Key strengths

• A simple, pragmatic approach that

addresses shared policy objectives

• Two partners from two countries
• ”national rules” and varied financing levels
• Focused on mobilisation/

engagement and initial (experimental) linkages

• Leveraging and building capabilities
• f involved cluster organisations
• Strategic focus
• Tailored offering to SMEs
• Anchored with and leveraging of the

regional ecosystem

• Support to the transnational level

efforts (financing from NCM; coordination efforts from AIEG)

Suggestions for development

• Strengthened ”showcasing good

practice” and opportunities for experience exchange between cluster organisations

• Similar flexibility (in sectoral focus

and range of accepted activities) and financing levels across countries

• Longer projects (or possibility for

more ambitious phase 2)

• Offer direct support to SMEs
• Structured follow-up of results
• ver time