Science & Technology Policy Institute

1. OECD SS Workshop August 22-24, 2011 Seville, Spain Horizontal Module on Conceptual Work Science & Technology Policy Institute Jeong Hyop Lee, Ph.D

2. Contents • Elaboration of the Concept • Scientific and Holistic Approach

3. 1 Elaboration of the Concept

4. 1. Background 2 During the 37th TIP meeting and also at the Leuven workshop, a certain concern was shared among the participants, which is ambiguity of the concept. This is related with elaboration of the concept and its operationalisation for further analysis, which will be discussed in the Horizontal Module 1:Elaboration of the Smart Specialisation Concept.

5. 2. Evolution of the SS Concept 3 Continuously loosing competitiveness of EU regions/states Conception of Smart Specialisation • Entrepreneurial discovery process • Spatial distribution of SS dynamic processes between basic invention regions and application regions Local contextual-ization Platforms for collectiveness • European Cohesion Policy • Place-based Policies • Grand challenges beyond individual region/state • Fiscal constraints due to financial and macro-economic crisis Collective networks of regions/states

6. 3. Issues 4 • Differentiation from Related Theoretical Concepts • Cluster, Regional Innovation System, etc • Dynamics of Innovation, Role of Institutions, Regional Development, Culture, Inter-actor Relationships, Interaction with Environment • Operationalisationof the Concept • Analysis Target, Unit, Contents, etc • Economic Rationale

7. 5 Scientific and Holistic Approach

8. 1. Searching for Alternative Approaches 6 • Based on a whole policy target unit diagnosis of framework conditions in a very rapidly changing and uncertain environment • Identification of goals • Appropriate organizational arrangement • Operation model • Governing mechanism of the system • Legal and macro institutional framework

9. 2. Western Scientific and Eastern Holistic Approach 7 2.1 Western Scientific Approach

10. 8 2.2 Eastern Holistic Approach

11. 9 Cf. Cybernetics, Intellectual Governance

12. 10 <The Geography of Thoughts by Richard E. Nisbett (2004)>

13. 11 <Comparison of Western Approach and Eastern Approach on Ear Buzzing Phenomenon>

14. 3. Korean Experiences 12

15. 13

16. 14

17. 15 • Identification of goals: export promotion in 1960s, heavy and chemical industrial promotion in 1970s, and promotion of private R&D investment • Appropriate organizational arrangement: government research institute for mission research in 1970, research consortiums in 1980s • Operation model: project-based operation model of GRIs in 1970s, research management and evaluation system in mid-1990s • Governing mechanism: top-down and hierarchical process of decision-making and implementation in 1970s and 1980s, sophisticated inter-ministerial coordination only in 2000s • Legal and macro institutional framework: currency rate manipulation and further financial support and bank loan assistance from government for export promotion in 1960s, various laws, plans and programs in 1970s,1980s

18. 16 STI conditions and issues in 2000s Innovation-driven STI • Limits of Catch-up model Technology SMEs & finance • Technology & Market Uncertainty GRIs since 70s Technology SMEs in 2000s • Quality of Life Awareness Large companies since 80s Basic & fundamental research • Technology spin-offs • Science & Engineering Crisis led by mass research lay-off Universities since 90s New HRD 2008 Global financial crisis Excessive investment & globalization New growth engines Inter-ministerial coordination governance 1997 Asian financial crisis Global warming & natural disasters Green growth Restructuring & privatization Global dimension Global S&T leadership OECD DAC Accession in 2010 Capital Region and Seoul-Pusan axis development Autonomous local government system Expansion of class disparity Public welfare Expansion of regional disparity Regional innovation Local dimension

19. 4. ANDI case 17 • Africa is vulnerable to many types of diseases that much of the international community – in particular, pharmaceutical companies – neglects or ignores and, as a result, prone to deaths of countless people in the nation. • In response to address the needs of neglected diseases throughout Africa, the African Network for Drugs and Diagnostics Innovation (ANDI) was established in October 2008 in Abuja, Nigeria. • The ANDI Secretariat and Central Office is located in Addis Ababa, Ethiopia and hosted by the United Nations Commission for Africa (UNECA). ANDI is seeking to create regional hubs in each of the five regions of Africa in order to support implementation of the organization’s activities throughout the continent. In 2011 thirty two centers of excellences (COEs) were chosen among the one hundred and seven applicants to collectively deal with the neglected disease issues in Africa. • To address this need, the ANDI seeks to increase research and development collaboration among African nations and institutions including through the management of portfolio Center of Excellences (COEs) in health innovation and projects; fund and manage a portfolio of health R&D projects; support and promote the establishment of public-private partnerships, new firms within Africa to support the research, development and manufacture of new drugs, diagnostics and other health-related products including those based on traditional medicine.

20. 18 • Other areas include the generating and managing intellectual property and exploring innovative mechanisms to encourage and reward local innovation while promoting access including research based on traditional medicine and promoting long-term economic sustainability through supporting R&D and access to health products in Africa.

21. 5. Conclusion 19 • The holistic approach as appropriate tools to deal with policy designs to formulate and maintain the collective networks of regions/states to tackle with global challenges • The holistic knowledge and approaches cannot be easily segmented, scientifically verified and codified by which knowledge and experiences can be accumulated and transferred to the next generation and other groups. • The Western approach has strength to segment, verify and classify knowledge and experiences for accumulation and education. • The weakness and strength of the two approaches need to be harmonized to prepare the policy and governance design of smart specialization as collective networks of regions/nations to overcome the global challenges.

22. Thank you for your attention!