Innovation Culture and Awareness Building in Tartu Region

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• Innovation Culture and Awareness Building in
  Tartu Region

Rene Tõnnisson Wolfgang Drechsler
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Lujo Brentano 1844-1931
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When I climbed out of the boat that had brought
us back to Naples, and gave to one of the boys
lying on the pavement my briefcase to carry, he
shook his head with the words I have already
eaten! (Brentano)
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Tartu and South Estonia
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• Population - 350 000 inhabitants
• Area 15 000 sq Km
• Main sectors Forrest-Wood,
  Metalworks-Machinery, Food, Textile

Tartu
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Tartu Model for Strengthening Tartu Regional
Innovation System
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Key Message

• It is useful to learn how other regions have done
  it but the best way is learning by doing and
  dont be afraid of making mistakes because ...

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• Mistakes come from lack of experiences and
  experiences come from mistakes

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2. CULTURE FOR INNOVATION in the sense of an
innovation conducive climate within a certain
location (innovation milieu)
Innovation Culture
3. INNOVATION CULTURE in the sense of an
innovation-conducive habit or system or best
practise within a given company
1. INNOVATION AND EXISTING CULTURE (especially
regional / local) as it exists
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WHAT ARE INNOVATIONS AND HOW DO THEY WORK?

• INNOVATIONS ARE NOT INVENTIONS
• innovation is an economic term
• innovation is lucrative

AND WHAT PROPELS INNOVATION?

• because at least for a time, the novelty that
  marks the innovation makes it impossible for
  competitors to get into the action

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But this is just half of the story...
There are innovations that are only good for the
entrepreneur, and there are innovations that are
also good for state, society, and economy. And
while entrepreneurship is nice as such, the
interest for the state side and regions lies in
promoting it in precisely those areas that have a
snowball effect to produce a general increase
in production and wealth.
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Strong University as a dominant stakeholder
Population of City of Tartu 100 000
inhabitants 25 000 University Students University
of Tartu founded in 1632 and the only classical
university in Estonia with 11 faculties from
Theology to Medicine
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To change the culture is one thing and maybe
desirable but the obvious first step for any
policy, including innovation policy, is to accept
what exists.
In Estonia for example innovation promotion via
tax incentives does not work, as the purpose of
taxation is believed to be revenues only
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Therefore, the question or challenge implied in
asking about regional innovation culture is
not so much, or not only, about creating an
innovation-friendly culture,
but to create a set of innovation incentives
which are in line with the existing culture!
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Some example for culture-specific questions
relating to innovation policies
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The key to a successful regional innovation
strategy is therefore a thorough analysis of the
existing culture vis-à-vis innovation, and the
adaption of any strategy to that culture
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and that is why, if you are planning for
regional innovation policies for a specific
region you cannot only read statistics, check
indicators, or consult psychological models, but
you should read the local novels, watch
television, read the papers, and just talk to the
people to get a sense of the culture.
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CULTURE FOR INNOVATION in the sense of an
innovation conducive climate within a certain
location (innovation milieu)
INNOVATION AND THE EXISTING CULTURE (especially
regional / local) as it exists
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Regional culture can ATTRACT innovation
During economic globalization, which is marked by
a divorce of value-addition and physical product,
life remains real and must be lived.
Thus, to attract innovative business, as or more
important than tax advantages etc. may be LIVING
ENVIRONMENT and quality of life for the
innovators and their families
which are partially cultural, partially
infrastructural, partially natural (landscape and
climate), but they ARE promotable and should be a
focus of any regional innovation strategy.
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Tartu Software Micro Cluster

• There are about 50 software companies who are
  employing about 1000 software engineers in Tartu
• Skype thought that it is a good place to recruit
  new people
• But people did not want to move so it was forced
  to set up an software developement office in
  Tartu, which became catalyst for most succesful
  Cluster Initiative in Estonia

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• Therefore it is actually one of the best
  strategies for a region that wants to attract
  innovative enterprises and entrepreneurs to
  create an environment in which those people feel
  happy and actually want to live.

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• This is true for physical infrastructure as well
  as for Social Capital in the widest sense, and
  usually these days, for cultural, environmental,
  educational, and other such features that even
  the biggest money cannot buy and if this cluster
  of people is big enough that it cannot easily be
  bought to somewhere else, things will start to
  look really good.

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Only then the result, as depicted in Lorenzettis
Fresco in the Siena City Hall, may be an
enlightened public policy that, through the
promotion of the right economics, provides
welfare and happiness for all in the region, so
that the people can dance in the streets ?
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Innovation Culture is thus not about having more
technological innovations
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... but it is about the right attitude and
understanding how to make best out of innovations
in your specific situation
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THANK YOU!

• Contact Information
• Rene Tõnnisson
• Tartu Science Park
• Email rene_at_ibs.ee
• Tel [phone]