The Children’s Empathy Quotient and Systemizing Quotient ...
Possibilities for establishing Norwegian –Chilenian ......• Started its activities on 1 January...
Transcript of Possibilities for establishing Norwegian –Chilenian ......• Started its activities on 1 January...
Possibilities for establishing Norwegian –Chilenian projects.
Innovation Norway’s work with the Seafood sector in general and aquaculture in particular.
What does Norwegian companies have to offer?
Presentation AquaNor 2007 Trondheim
Svein Hallbjørn Steien Veterinarian AVSF
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Contents:
Facts about Norway
About Innovation Norway
Norwegian seafood Sector
Innovation
IRD Contracts
The presentation from IN in the workshop will be a short version of this file
Facts about Norway
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Minifacts about Norway 2007
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Norwegian petroleum activities….
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New energy
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Fishing and Aquaculture 1995 vs. 2005
Organisation and management Innovatio Norway
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Innovation Norway
• Established 19 December 2003 as a statutory company
• Started its activities on 1 January 2004
• Took over the initiatives formerly offered by TheNorwegian Industrial and Regional Development Fund (SND), the Norwegian Trade Council, the Norwegian Consultative Office for Inventors (SVO) and the Norwegian Tourist Board.
• 750 employees in offices distributed throughout all of Norway’s counties and in 30 countries. The Head Office is located in Oslo.
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Objective
”Innovation Norway’s objective is to
promote private- and socio-economic
profitable business development
throughout the country and to release
the commercial opportunities of the
districts and regions by encouraging
innovation, internationalisation and
profile-building.”
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Vision
”We give local ideas
global opportunities”
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Seamless service, based on customer needs
• Innovation
• Internationalisation
• Profile building
• Skills-based financing
• Consultancy
• Putting together networks
• Network building
As a customer you have your needs – together we
will find a solution to those needs
Focus Initiatives
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Innovation Norway – an active business partner
• Regional Authorities
• The Norwegian Ministries
• Local Authorities
• The Research Council ofNorwegian
• SIVA - The IndustrialDevelopment Corporationof Norway
• The Norwegian Design Council
• The bank sector and financial institutions
• NHO - Confederation of NorwegianBusiness and Industry
• NSEC – The Norwegian SeafoodExport Council
• The Industry
• And others…
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Tromsø
Bodø
SteinkjerTrondheim
Ålesund
HermansverkBergen
StavangerKristiansand Arendal
Tønsberg SarpsborgSkien
Drammen Oslo og Akershus
Molde
Hamar
Vadsø
Lillehammer
Tynset
Tinn
Førde
• Regional knowledgeof business and thecommunity
• Regional differentiation ofInnovation Norway’sproducts and services
An organisation close to its customers
District Offices
Local Offices
Alta
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Customer’sproject
Government incentives
RefiningUnderstand Decide
The way in for the customers
Regional priorities
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The Innovation process
• The Innovation process, or to innovate (to achieve innovation), requires coordination (competition and collaboration) between a number of private and public players, and forms part of what is called the innovation system.
• Innovation takes place locally with national and international links.
Source : Parliamentary bill 51 INITIATIVES FOR AN INNOVATIVE AND CREATIVE INDUSTRY
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Innovation Norway’s strengths
• Decentralised and close to its customers
• International and close to its markets
• Broad range of skills in commercialisation, internationalisation, company and business development and profile building
• Broad range of financial schemes for risk hedging
• Network connections to other skills, financial and initiative players
• Close contact with national and regional authorities
• Close contact with the Foreign Office
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Effective and result-oriented
Around NOK 4 billion for the reinforcement of Norwegian industryInnovation Norway contributes to the establishment and protection of 7,000-8,000 jobs each year
Customer surveys indicate that at least 90% ofInnovation Norway’s funds is devoted to projects thatare regarded as important for companies’ survival and profitability development
70% of the companies who were promised funding in 2000 think that the projects will lead to a high degree ofskills development in one or more professional fields
Seafood Sector in Norway
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Natural advantages
Wild Atlantic salmon population
Knowledge about hatching
Clean water
Long coast, numerous of potential sites
• Coast line: 83.281km included fjords and islands (equatorial line: 40.077 km)
Temperatures fit for farming salmon and trout and marine cold water species
Well-built infrastructure
Coastal pioneers, coastal culture
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An important industry for a small country
Landed catches 2.5 mill. tonnes
Farmed salmon and trout 0.6 mill. tonnes
95 % for export - all over he world
Generating export revenues close to NOK 36 billion NOK
The challenge is to increase the profit
A sustainable seafood industry that will take over for oil/gas in 2030!
Total production (2006) of
3.1 million tonnes
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Regulation and legislation
Salmon farming is strictly controlled by a number of laws and regulations administered by 4 ministries:
• Ministry of Fisheries has the superior responsibility
The system imposes limitations with regard to the maximum allowed biomass of each license, as well as to the maximum number of licenses given
The licensing system is the main instrument used by the authorities to maintain the fish farming industry as a profitable and viable regional industryPhoto: Fjord Seafood
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Creativity vs. Innovation
Innovation is doingsomething about it
Creativity is to create
something new
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THIS IS INNOVATION.
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Interplay for Innovation – Seafood sector
The Priority of Innovation Norway:
Interplay based on strategic development
Ministry of Fishery- and Coastal Affairs
Industry and their Organizations
Norwegian Export Council
Fishery and Aquaculture Research Found
Research Council of Norway
Counties
R&D Institutions
28Systemizing the World of Aquaculture and Fisheries 25.04.2005
Norway; harvest quantity Atlantic salmon and Trout from 1974 – 2005E
Tonnes round weight
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29Systemizing the World of Aquaculture and Fisheries 2.6.2004
Development in COP and market priceDevelopment in COP and market price
(FOB Norwegian border) (FOB Norwegian border) -- world supply of Atlantic salmonworld supply of Atlantic salmon
1987 1987 –– 2004E2004E
Inflation adjusted. Basis 1998
0,0
10,0
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1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004
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eigh
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Average export price FOB Norwegian border, fresh gutted salmonAverage cost/kg fresh gutted salmon(FOB Norwegain border)Global supply of Atlantic salmon
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150 companieswith appr. 840concessions in operation by theend of the yearProduction appr. 496.000 tonsSalmon + 60.000 tons Trout
OVA SMOLTS ONGROWING WELLBOATHARVESTING/PROCESSING
SALES AND MARKETING
Appr. 15-20 producers of ova
Appr. 255mill. eggs + trout, arctic char and halibut ovaappr. 39 mill
VALUE OF THE NORWEGIAN SALMON INDUSTRYVALUE OF THE NORWEGIAN SALMON INDUSTRY 2003E2003E
FarmedFarmed Salmon, Salmon, TroutTrout and and otherother speciesspecies
Appr. 180 smolt producingplants in operation
total delivery in2003 appr 135 mill. smolt +ca. 17 mill. trout+ other species
Appr. 100 approvedwellboats
100 mill 1.000 mill 6.800 mill 300 mill 2.700 mill 900 mill
Appr. 120 processing and packing plants.
Total harvestappr. 508.000tons salmon +75 000 tonstrout.
Total harvestappr. 583.000 tons
TRANSPORT
600 mill
7.900 mill 8.200 mill 10.900 mill 12.400 mill 1.100 mill
Appr. 120exportershandling bothexports and domesticdistribution
20 of thesesell 80% of thequantity
Transportto market carried out by Norwegiancompanies
11.800 mill.
150 companieswith appr. 840concessions in operation by theend of the yearProduction appr. 496.000 tonsSalmon + 60.000 tons Trout
OVA SMOLTS ONGROWING WELLBOATHARVESTING/PROCESSING
SALES AND MARKETING
Appr. 15-20 producers of ova
Appr. 255mill. eggs + trout, arctic char and halibut ovaappr. 39 mill
VALUE OF THE NORWEGIAN SALMON INDUSTRYVALUE OF THE NORWEGIAN SALMON INDUSTRY 2003E2003E
FarmedFarmed Salmon, Salmon, TroutTrout and and otherother speciesspecies
Appr. 180 smolt producingplants in operation
total delivery in2003 appr 135 mill. smolt +ca. 17 mill. trout+ other species
Appr. 100 approvedwellboats
100 mill 1.000 mill 6.800 mill 300 mill 2.700 mill 900 mill
Appr. 120 processing and packing plants.
Total harvestappr. 508.000tons salmon +75 000 tonstrout.
Total harvestappr. 583.000 tons
TRANSPORT
600 mill
7.900 mill 8.200 mill 10.900 mill 12.400 mill 1.100 mill
Appr. 120exportershandling bothexports and domesticdistribution
20 of thesesell 80% of thequantity
Transportto market carried out by Norwegiancompanies
11.800 mill.
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Fish health - healthy fish without use of medicine
Fish health – importantNorway: “no” needs for antibiotics
• Good sites• Only one generation per site: Site
rotation - fallowing• Good management – fish welfare• Good vaccines• Strict veterinary control of all
farms• Focus on resistance to medicines• Moving live fish is strictly
regulated• All medicines approved according
to environmental effectsNorwegian research program for fish
healthFish health – a never ending story
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1981 1984 1987 1990 1993 1996 1999 2002
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wfe
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Volume salmon and trout Consumption antibiotics
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The Innovation process
• The Innovation process, or to innovate (to achieve innovation), requires coordination (competition and collaboration) between a number of private and public players, and forms part of what is called the innovation system.
• Innovation takes place locally with national and international links.
Source : Parliamentary bill 51 INITIATIVES FOR AN INNOVATIVE AND CREATIVE INDUSTRY
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Internationalisation and innovation to be integrated into our services
ServicesServices
Internationalisation Image-building
Innovation
Regular review of our portfolio will result in a well-founded and clear range of services
Regular review of our portfolio will result in a well-founded and clear range of services
Improvmentof knowledge,
competenc, networking,
financialmodels etc.
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Our vision
Company
Supplier Trondheim
KnowledgeTokyo
Competitor/partner Berlin
CustomerRio
TechnologyHorten
InvestorSan Francisco/OsloIN
”We give local ideas global opportunities” – because an innovation system knows no boundaries
”We give local ideas global opportunities” – because an innovation system knows no boundaries
Customer needsCustomer needs
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Local ideas and opportunities
Participants in programmes & initiatives(FORNY, Skattefunn, NCE, ARENA, sector program-mes...)
Global opportunities and
ideas
(Services from network abroad)
We will establish one business model for customer service across national borders
Officesabroad
Companies that make direct enquiries to our offices abroad
Regionaloffices(clientassessment)
HQ/PS provide strategic
governance
National coordination
Large-scale nationalinitiatives/projects
Global ideas get local opportunities!
Local ideas get global opportunities!
Business modelBusiness model
Common principles for own input when allocating money and hoursCommon principles for own input when allocating money and hours
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…but Norway is lagging behind other European countries
0 %
1 %
2 %
3 %
4 %
5 %
0 % 5 % 10 % 15 % 20 % 25 %
EU25FranceGermany
Netherlands
Iceland
United Kingdom
Share of R&D investments financed from abroad (2003)
R&D-investments/GDP(2003)
Finland
Sweden
Norway
Denmark
Kilder: Eurostat
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…and examples show that companies areinterested in Norwegian R&D…
Yahoo and Google have both set up R&D organisations in Trondheim the last few years – Yahoo as result of a take-over, Google as a greenfieldoperation
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An An agreementagreement betweenbetween a a suppliersupplier (small or medium (small or medium sizedsized company) and a company) and a ””largerlarger”” customercustomer
PurposePurpose: to : to strenghtenstrenghten the the abilityability of small/medium of small/medium sizesizecompaniescompanies to to carrycarry out market out market orientedoriented researchresearch and and development, development, throughthrough coco--operationoperation withwith a a demandingdemandingcustomercustomer
FundingFunding conditionsconditions: normally 1/3 : normally 1/3 eacheach -- the the suppliersupplier, , the the customercustomer and INand IN
TheThe rolerole of the of the customercustomer: to be a : to be a demandingdemanding customercustomerwithwith good good referencesreferences and market and market channelschannels
Industrial Industrial ResearchResearch and Development and Development ContractsContracts ((IRDIRD--contractscontracts))
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A profitable partnership
InnovativeNorwegiansupplier
IFU Contract
Technologyknowledge
Market Market knowledgeknowledgeMarket Market accessaccess
Offer:New products or solutions
Requirement:New solutions for a global market
Demandinginternationalcustomer
InnovationNew industryGlobal trade
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BUSINESS-CONSEPT
From a GOOD idea to a GREAT ideaJ. Collins: “Good to great”
PRODUCT
Core-delivery
Added values
AlliancesLeadership
Capital
Knowledge Services
Technology
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Why choose a Norwegian SME for product development
• Need for competencies in areas where Norway is leading (ICT, offshore, energy, engineering, aquaculture, etc.)
• Advanced industrial standards and modern plants
• Relatively low salaries for engineers
• Stable economic conditions
• IFU offers a strategic tool to direct and support product development (reduction of risk/cost in well tried scheme/established framework)
• Extended network in other areas
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The client company gives access to markets
Client
Supplier
Market
Project
Commercialisation
Possi
ble co
mmercial
isatio
n
altern
ative
s
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IFU value proposition
Norwegian technology supplier:
• Access to international market
• Reference client, improved distribution or similar.
• Feedback from demanding client, access to knowledge
• Funding/Reduced cost
”Locomotive”/International corporation:
• Access to technology, resources, knowledge, new product/service/process
• Reduced risk/cost due to IN grant and support
Innovation Norway (IN)/Norway:
• Successful and robust Norwegian technology companies
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Shared commercialisation
Client
Supplier
Market 1
Project
CommercialisationMarket 2
Commercialisation
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Supplierca. 60 – 70%
Client
Public financing max 35 %
The contribution from Innovation Norway is a cash grant to the Norwegian company (supplier company).
Financial model
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IFU grant in practical terms
• IN can grant funds up to 35% of the project costs
• IN may use a rate lower than 35%, if one or more of the following conditions are met:
• The project is related to a mere upgrading of existing products (less innovation, less grant)
• The Norwegian supplier company has received IFU support for other projects
• SkatteFUNN is available
• The potential profit is high
• IN is flexible in terms of implementation
• The local IN office in Norway is responsible for evaluating and approving IFU applications
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IFU financial framework (project funding)
• A funding plan has to be set up based on the total cost of the project as defined
• IN can provide a grant of up to 35% of IFU project costs (25% if Norwegian company is not an SME)
• The participating companies cover the rest according to their contract
• The IN grant is paid out to the Norwegian company at the end of the project
• IN’s payments may be staggered if necessary
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Which processes can be included in a project?
• Technical development work up to prototype, process or system solution stage
• Can include smaller test series
• Testing, certification and documentation for product/service/solution
• Market research and preliminary presentations to client for feedback (Subject to evaluation - Focus on pilot client/customer testing)
• Some project administration (Subject to strict evaluation)
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IFU financial framework (project cost base)
• Man-hours included in cost base: • Supplier company’s and client company’s own time contribution
• Formula: 0,1 % of annual salary
• Direct costs to be included :• Costs related to the purchase of necessary items, raw
materials, components, instruments and equipment by the Norwegian supplier company
• Purchase of services and consultancy work, including purchase of research findings, technical know-how, design, sub-contracting, etc. by the Norwegian supplier company
• Direct costs associated with market research and preliminary presentations to potential clients for feedback, as well as administration as specified and accepted in application
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IFU application top tips
In the application evaluation the following is key:
• Commitment from the client to take significant part in the project by spending time (man-hours)
• The size and the market reference effect or market access of the client
• The level of innovation of the project is significant
• Eureka status will be viewed favourably
• Available IFU funds may impact probability of EUREKA approval
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IFU terms and conditions
• The largest part of value adding must be provided by Norwegian supplier
• The Norwegian supplier must retain intellectual property for the product/service developed
• The funding shall act as a trigger for getting the project underway
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Efficient Ballast WaterEfficient Ballast WaterEfficient Ballast Watertreatment and reducedtreatment and reducedtreatment and reduced
corrosion.corrosion.corrosion.
Example
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ScanWind ASA
• Spinnoff from Kvaerner 2000
• Customer: NVE and Enova SF
• Energy producer: Nord-Trøndelag E-verk
• 3MW direct driven wind mill
First wind mill without gearbox
Cooperation with Siemens AG
• Project total cost 63 MNOK
OFU 2+10 MNOK
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Eksportutvalget for Fisk, Bjørn-Erik Stabel, Stål HeggelundBocuse’ dOr, Eyvind Hellstrøm , Det norske kokkelandslaget
Øyvind Seipajervi, Bugøynes Kongekrabbe ASKjell Grønn, IN Paris, Truls Herland, IN Vadsø, Roger Pedersen IN Alta
Petter Ustad, Svein Hallbjørn Steien, IN HK
Norwegian King Crab and Norwegian White Halibut
for
Bocuse d’Or 2007
Photo: S.H. Steien
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Vision: A profitable seafood business!
Strategy:
• Build connections between Norwegian producers and the supermarkets
Goal:
• Increase value per kilo
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Optimise the whole value
chain to market needs
Consolidate quality in
existing production
Innovation towards new
species and products
Support competence
development and networking
Todays challenges and our priorities
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58Photo: Jon Arne Grøttum
Thank you for your attention!