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The Experience of a Leader in Innovation. The Case of Finland
Professor Reijo Vihko
President and Director General
The Academy of Finland
Structural development of the Finnish R&D system
• Science Policy Council, 1963
• Expanding the university system in 1960’s and 1970’s
• Finnish National Fund for Research and Development (SITRA),
1967
• Academy of Finland, 1970
• National Technology Agency, TEKES, 1983
• Science and Technology Policy Council, 1987
Public R&D funding actors
Parliament
Science and
Technology Policy
Council
Government
Ministry of
Education
Ministry of Trade
and Industry
Academy of
Finland
National Technology
Agency, Tekes
Other
Ministries
Sitra Fund
Universities and government research institutes
Business enterprises and private research institutes
In the 1990’s
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490 new doctors, 1990
Research and development 1,9% of GDP, 1990
CERN- membership, 1991
Nomination of 12 Centres of Excellence by the Ministry of Education,
1994
Graduate school system launched (93 schools), 1995
Finland became a member of European Union, 1995
Government decision of the additional public R&D funding, 1996
Post doctoral system started, 1997
Decision of the Academy of Finland to start 26 new Centres of
Excellence (2000-2005), 1998
Research and development 3,1% of GDP, 1999
1.156 new doctors, 2000
R&D in Finland in 2002
Universities
• Employs nearly 70,000 people
• Total input roughly 5 billion euros, of
which business enterprises account
for over 73%
• R&D input about 3.5% of GDP
• Finland’s share of OECD countries’
R&D input about 0.7%
• 20 universities and 31 polytechnics
• 1,224 doctoral graduates in 2002
Rovaniemi (1)
Oulu (1)
Vaasa (1)
Kuopio (1)
Jyväskylä (1)
Joensuu (1)
Tampere (2)
Turku (3)
Lappeenranta (1)
Espoo (1) Helsinki (7)
Researchers per thousand labour force: latest available year (1)
0
2
4
6
8
10
Finland
Japan
Sweden
US
Belgium
Denmark
Germany
France
UK
EU-15 (2)
Netherlands
Ireland
Austria
Spain
Portugal
Greece
Italy
Source: DG Research
Data: Eurostat, Memger State, OECED
Notes:
(1) FIN, JP, E, P: 2000; UK,A: 1998; US: 1997. All other ccuntries: 1999.
(2) EU average does not include Luxembourg
Researchers are full –time Equivalents (FTE); labour force are headcounts (HC)
12
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National strengths and preferences
• A national innovation system includes not just the
institutions performing research and development
• National background of firms is not irrelevant
• National structural preferences
University
“It is no longer a public reservoir of knowledge, where
firms come to fish for the knowledge they need, but a
public reservoir of competendes mobilised by actors in
society, both public and private, to help them resolve
the problems they face”.
Philippe Laredo & Philippe Mustar, 2001
Finland’s strategy for the future
Findand’s economic, social and cultural welfare is increasingly based on
knowledge and know-how generated by research and education
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Effective strategy implementation requires continuous development of
the innovation system
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High quality
Effectiveness
Scientific and societal relevance
Evaluation of impacts
Sustained internationalisation
On the Way to Becoming a System of Innovation:
European Research Area
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Research policy as a central pillar of Europe’s strategy towards the most
competitive knowledge-based economy in the world
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Sixth Framework Programme. 95% of European R%D resources is national
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Raising EU research expenditure from 1.9 to 3.0% of GDP by 2010 (23 form the
private sector)
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Human resources: 700 000 additional researchers needed by 2010 (1.6 millon
in 2000)
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European Research Council
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Enlargement of the Union
Reacting globalisation
• Strengthening the knowledge base
• Deregulation and opening the national markets
• Increasing competition
• Taking actively advantage of the new opportunities
• National and international cooperation
How to reach the national targets?
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Intensifying the utilisation of new knowledge and know-how
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Strengthening cooperation between the public and private sectors
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Advancing national and international networking
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Increasing research funding allocated on a competitive basis
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Securing research funding
Strengths of Finnish science policy
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A steady growth and high level of investment in research and development
Political consensus and interest in scientific research
Well-functioning system of planning, decision-marking and funding
Regionally convering system of universities
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High standard of education
Strong interest by young people in research career
An efficient system of researcher training
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Cooperation between funding bodies
Company-university cooperation
Active internationalisation