africa re:load 2 Nguyen - German Development Cooperation: innovation and green growth
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africa re:load 2 Nguyen - German Development Cooperation: innovation and green growth
- 1. Africa Re:Load | Weimar 29./30. August 2011 Name, Vorname| E-Mail Adresse | Institution innovation collaboration entrepreneurship
- 3. Outline Involvement of BMZ in the international debate on Innovation and green growth 1 2 GIZ ‘s approach to Innovation System Development
- 10. Africa Re:Load | Weimar 29./30. August 2011 Name, Vorname| E-Mail Adresse | Institution Workshop | Weimar, 29. bis 30. August 2011 Africa Re:Load | Discover new opportunities for innovation and business
Notas do Editor
- Erste Folie jedes Vortrages
- In order to compete in increasingly open and demanding (world, regional, local) markets, the application of knowledge is becoming increasingly important – in most cases more important than low-cost labour, abundant resources. Applying knowledge in products, services and processes allows companies to generate better quality products, higher productivity, and reaching new markets/customers. Thus, the crucial part about innovation is the commercial success on the market. It doesn ’ t matter whether the innovation introduced is something completely “ new to the world ” , or whether it is “ only ” an improvement of something existing, the imitation or adaptation of a novelty developed by someone else. Innovation as a result of competition in private sector: desire to generate innovation rents, „first mover advantage“, need for others to compete with ‘first mover’ rationale for government intervention market failures: high costs and high risks for innovator, especially if of small or medium size, but benefits are not individually appropriable , information asymmetry, coordination failures also: weaknesses in the institutional set-up, lack of ties with private sector to foster applied research and joint learning
- In order to compete in increasingly open and demanding (world, regional, local) markets, the application of knowledge is becoming increasingly important – in most cases more important than low-cost labour, abundant resources. Applying knowledge in products, services and processes allows companies to generate better quality products, higher productivity, and reaching new markets/customers. Thus, the crucial part about innovation is the commercial success on the market. It doesn ’ t matter whether the innovation introduced is something completely “ new to the world ” , or whether it is “ only ” an improvement of something existing, the imitation or adaptation of a novelty developed by someone else. Innovation as a result of competition in private sector: desire to generate innovation rents, „first mover advantage“, need for others to compete with ‘first mover’ rationale for government intervention market failures: high costs and high risks for innovator, especially if of small or medium size, but benefits are not individually appropriable , information asymmetry, coordination failures also: weaknesses in the institutional set-up, lack of ties with private sector to foster applied research and joint learning
- Innovation is not a linear process , which starts with a lonely researcher in a laboratory, and then automatically moves on to commercialisation at the market. Rather, innovation is a circular process , involving multiple interactions and feedback loops between different actors. These actors are companies, researchers, government, intermediaries. This is what we call the Innovation System . In our GIZ approach , we describe IS as consisting of 3 main elements : sub-systems, bridges and interactions, and the system environment.
- all sub-systems are interrelated and interdependent through a supply- and demand-relationship . For example, even companies who have their own R&D departments and engage in applied research build on the basic research results of universities and research institutions. Similarly, companies depend on the education system to supply highly skilled human resources to them, while graduates at training institutions depend on companies who are demanding their individual skills. in order for this demand and supply to match , it is necessary to have very intense interaction, strong communication channels and intermediary institutions between the sub-systems: for example, private sector executives often sit on the boards of educational institutions and participate in the development of curricula
- as we have seen, IS are very complex and demanding , there is a need for constant efforts by governments and all other players in the system to keep it functioning and constantly improve it that ‘s what GIZ is trying to do together with our partners, by reinforcing the 4 sub-systems Promoting bridges Improving framework conditions
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