Comments from related national RTD programs

ICE 2003 Roadcon roadmapping session

Wednesday 18.6.2003

Dipoli

Mika LAUTANALA

Chief Technology Adviser

PO Box 69, 00101 HelsinkiTel. +358 10 521 5838GSM +358 50 5577838

Mika.Lautanala@tekes.fi

2

Innovation systemResources and funding in 2001

Pri

vate

Basic research Applied research Business R&D

Business developmentMarketingInternationalisation

R&Dat companies

3,284

The figures represent the total extent of each organisation in million euros in 2001. In parenthesis the share that is funded from the State budget. The funds of Tekes, the Academy of Finland and Innofin are

funded entirely from the State budget.

BusinessAngels

380

Pu

blic

Finnvera332 (44)

Universities834 (364)

Academyof Finland

184Ministries,

TE-Centres,sectorial research

287 (209)

Tekes386

VTT214 (68)

From abroad115

Innofin5 (4)

Finpro55 (30)

Venture capitalists:Private 287

Industry Investment Ltd 38 (42)Sitra 64

3

R&D input in some OECD countries

Sources: OECD, Main Science and Technology Indicators database, Statistics Finland (Finland 2002) and Statistiska centralbyrån (Sweden 2001, estimate).

USA

Japan

Germany

Sweden

Great Britain

France

Austria

FINLAND

Denmark

85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02

OECD total

3.5

3.0

2.5

2.0

1.5

1.0

4.0

Percentage of GDP

est.

Canada

Israel4.5

0.5

Iceland

South Korea

Singapore

China

Norway

4

Competitiveness by country

1

3

5

79

11

13

15

17

19

21

2325

27

29

31

Source: The World Competitiveness Yearbook

1997 1998 1999 2000 2001 2002

Ranking by IMDRanking by IMDUSAFINLANDLuxembourgNetherlandsSingaporeDenmarkSwitzerlandCanada

Hong KongIrelandSwedenGermanyNorwayFrance

Japan

5

Competitiveness scoreboard

* Based on earlier competitiveness index of micro economy

Total rankingTotal ranking

WEFTotal growth

competitiveness

IMDTotal competitiveness

20002001

WEFCurrent

competitiveness1999*20002001 199920002002 2001 1999

USAFINLANDLuxembourgNetherlandsSingaporeDenmarkSwitzerlandCanadaHong KongIrelandSwedenIcelandGermanyFranceJapan

21..4965

111622

717

31514

21..3

1085

111822

616

41215

12..3

12758

2117

422

69

14

16342

1410

785

1324152221

21..84

1415

31311

916172021

211

791

17653

101918252314

14632

1378

125

149

112224

123456789

101112152230

13452

1510

9678

13122526

1534297

1068

1413122324

Sources: The World Competitiveness Yearbook (IMD) and The Global Competitiveness Report (WEF)

6

Competitiveness comparison

Ranking by the science and technology factorRanking by the science and technology factor

IMD UNDP

Sources: The World Competitiveness Yearbook (IMD), The Global Competitiveness Report (WEF) and Human Development Report

(UNDP)

Techno- Scienti-logical ficalinfrastructure

Science and technology

WEF

USASwedenFINLANDIcelandAustraliaCanadaDenmarkNorwaySingaporeNetherlandsIrelandSwitzerlandGermanyJapanFrance

20002001 2001 1999

156

1318161015

98

173427

123456789

101213151923

156

132012

82310

918

3427

156

191613

91712

811

3427

19971998

121

63124

92311

812

75324

115

62621121420

911

85324

20002001 1999

192

2623141329

315

4657

11

163

1952

127

18142824152317

110

323

64

1315

216

81117

512

2001

231..98..

1210

613..

114

17

7

Real Estate and Construction Cluster

Real EstateBuilding

Construction

Building material

and productINFRA

Building Services

ProBuild

8

Global Megatrends in RECC

The end users (companies and consumers) are becoming more and more global

real estate business has to become international (global) business

the whole RECC value chain has to harmonize globally standards, codes and even products

the whole RECC value chain has to network globally real estate and construction business has to be more

transparent need of knowledge and data grows dramatically information and communications technology (ICT)

becomes core of the RECC business innovation management will become the driving

force of business network in RECC

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RECC STRATEGY 2003-The New Mission

The new mission of the Real Estate and Construction Cluster:

Real Estate and Construction Cluster provides the infrastructure and the platform for:

global success of all businesses and well-being of the society

The cluster itself measures the benefits the value network offers to the end user

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Technology programmes on construction

9797 9898 9999 0000 0101 0202 0303 0404 0505 0606 0707 0808

Sara

Value Added Wood Chain

Rembrand

Infra

CUBE

Vera

Healthy Building

ProBuild

SamBa

Stone

Divan

FinnSteel

Environmental tech. construction

Wood construction

Simulation

Industrialised Building Construction

1987-1991

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DevelopmeDevelopment of the nt of the AEC/FM AEC/FM

ProcessesProcesses

Efficient Efficient Use of the Use of the InformatioInformation Networksn Networks

InformatioInformation Sharingn Sharing

ImplementatImplementation of ICT in ion of ICT in the Value the Value

ChainChainLife Cycle Life Cycle

Information Information ManagemeManageme

ntnt

SYNERGYSYNERGY

Vera Program Target Information Networking in the Construction Process

The target is to promote the implementation and use of ICT and networks as the enabling technologies to re-engineer the design, construction and FM processes

12

VisionVision

Programme organisation

GrantsLoansCapital loans

Researchfunding

Programme Manager

Tekes

• preparation• co-ordination• decisions

Private development projects

Publid research projects

SynergyNetworking

Funding

Steering Board• Lauri Ratia, chair• Mika Halttunen• Markku Hautanen• Kari Inkinen• Erkki KM Leppävuori• Juhani Sormaala• Mika Lautanala

SARAprogramme

13

Porter Value Chain

• Cost based competition• Business process driven by lowest cost• User needs neglected• Does not promote innovations• Suboptimization

2211 554433

14

Value Network

• Performance and quality based competition• Business process driven by customer perceived value• User needs control the process• Encourages to innovations • Total optimisation• Transparency and partnering

22

11 55

44 33

15

Process orientation

Manu-facturing

ContractingDesign Trans-portation

Sub-contracting

16

2003 2004 2005 2006 2007 TotalFunding source M€ M€ M€ M€ M€ M€Tekes 2,800 3,000 3,000 3,000 2,900 14,700Funding to research 0,800 1,000 1,000 0,700 0,500 4,000Grants to companies 1,300 1,300 1,300 1,500 1,600 7,000Loans to companies 0,700 0,700 0,700 0,800 0,800 3,700Companies 3,500 3,500 3,500 3,800 4,000 18,300Total 6,300 6,500 6,500 6,800 6,900 33,000

Programme budget

17

Thank You!Thank You!

www.tekes.fi/english/programmes/sara/www.tekes.fi/english/programmes/sara/