The Innovation Ecosystem of Tanzania · The Innovation Ecosystem of Tanzania 18 May 2017. This...
Transcript of The Innovation Ecosystem of Tanzania · The Innovation Ecosystem of Tanzania 18 May 2017. This...
This material has been funded by UK Aid from the UK government; however, the views expressed are those of the authors and do not necessarily reflect the UK government’s official policies.
Presentation Overview
• Research methodology• Findings - Defining innovation - Innovation ecosystem stakeholders - Connections within the ecosystem - Barriers to Innovation - Next steps• Launch of online interactive map
Guiding Research Questions
1. Who are the key players in Tanzania’s innovation ecosystem?
2. What are the gaps and opportunities in the ecosystem?
3. Where and how is the innovation ecosystem connecting?
• Champion Connectors individuals or organisations in different geographies and sectors who are connected to innovation stakeholders
• Geographic spread cover every region of Tanzania (surveys) or zone (in-depth interviews)
• Stakeholder group spread cover different types of innovation ecosystem stakeholders
Research Participants
twentynineOther surveys(including international)
Tota
lin
ter
vie
ws
35329Total surveys
34surveys
Lake Zone
FIVEIn-depth interviews
111surveys
Coastal
14In-depth interviews
70 su
rv
ey
s
Northern
SixIn-depth interviews
11surveys
Central
ONEIn-depth interview
42surveys
SouthernHighlands
FourIn-depth interviews
32 su
rv
ey
s
Zanzibar
six
In-depthinterviews
GeographicDistributionof participants
Stakeholder Groups
Stakeholder groups were defined as: InnovatorIncubator / Accelerator Thought Leader / MentorFunder Hub / Living Lab Government / Policy MakersUniversity / Research Institution Networks / Associations
Sample Size Stakeholders by Group
SURVEY
Stakeholder Group Number of stakeholders participatedInnovator (Business or NGO) 217Incubator /Accelerator 22Thought Leader / Mentor 20Funder (including donor, investor, bank, or any other 8 formal financial institution)Hub / Living Lab 13Government 11University / Research Institution, Teaching Institution 17 Networks / Associations 21
Total 329
IN-DEPTH INTERVIEW Primary Role Secondary Role (number of in-depth (number of in-depthStakeholder Group interview participants) interview participants) Innovative Entrepreneur 7 1Incubator /Accelerator 5 6Thought Leader Mentor 4 4Funder 1 1Hub / Living Lab 4 3Government / Policy Makers 4 2University / Research Institution 8 5Networks / Associations 2 2
Total 35 24
Sample Size Stakeholders by Group
• Survey - 329 completed - Used an online, in-person, and over the phone
structured questionnaire• In-depth interview
- 35 completed - Used an in-person and over the phone
semi-structured questionnaire
Data Collection Tools
In-depth interviews screened for recurring themes
Themes guide structure of report
Research Analysis Process
In-depth interviews screened for recurring themes
Themes guide structure of report
Survey data analysed for trends
Research Analysis Process
In-depth interviews screened for recurring themes
Themes guide structure of report
Survey data analysed for trends
Survey results inputted into thematic structure to clarify results
Research Analysis Process
innovation: A product, service, or process that is new to the world, new to Tanzania, or new to the region
Defining Innovation
“Innovation is adding value, not necessarily something completely new.”
“Innovations must be affordable, sustainable and customised. You need to make it for the community.”
Innovation Ecosystem Stakeholders
Living labs identified in the research include the following:Kigamboni Living Lab KigamboniMbeya Living Lab MbeyaRlabs IringaElimu Living Lab SengeremaArusha Ecolab ArushaTanzania Youth Icon Zanzibar
Co-working space/hub name LocationTwende ArushaBiashara Lab Dar es SalaamBuni Innovation Hub Dar es SalaamEasy Hub Dar es SalaamNafasi Art Space Dar es SalaamNlab Dar es SalaamRuka Kipro Dar es SalaamShe Codes for Change Dar es SalaamSoma Dar es SalaamKiota Hub IringaKili Hub MoshiEQWIP Hub StonetownZanzibar Innovation Space Stonetown
Hubs
New Hubsper Year
1997 | 2007 | 2008 | 2010 | 2011 | 2013 | 2014 | 2015 | 2016
1
20
10
15
56
89
11 12
1720
13
1
Fee Chargedfor Services
equity investment
Corporatesponsorship $
40%
90%
20%
0% Grants/externalfunding
$30%$tanzaniangovernment funding
30%$$
InternalRevenue
Sources of funding
Hubs
Innovation Ecosystem Stakeholders
Name of Incubator/Accelerator LocationTanzania Renewable Energy Business Incubator (TAREBI) Dar es Salaam
Anza Accelerator Moshi
Reach for Change Foundation Dar es Salaam
SPRING Accelerator Moshi, Dar es Salaam
Dar Teknohama Business Incubator (DTBi) Dar es Salaam
Zanzibar Technology Business Incubator (ZTBI) Miembeni
Ecom Research Group Dar es Salaam
Kakute Arusha
Sokoine University of Agriculture Graduate Morogoro Entrepreneurs Cooperative (SUGECO)
TLED Project (VSO International) Mtwara, Lindi, Iringa, Mwanza
Twende Arusha
Incubators and Accelerators
Innovation Ecosystem Stakeholders
Incubators and AcceleratorsStage of businesses supported by
incubators and accelerators
32%
Ideation/research
45%36%
pilot project/product
started operations/pre-revenue p
ro
fit
ab
le
Revenue-earning,not yet profitable
Percentage ofinnovation supportstakeholders*offering differenttypes of support,by zone 9%
5%
20%34%
5%9%
14%
5%
20%
Northern
8%
6%4%
16%18% 14%
15%13%8%
Zan
zib
ar
8% 6% 4%
16%18%14%
15%
13%
8%
Lake Zone
4%12% 9%
16%16% 16%
12%11%
5%
Co
as
tal
SouthernHighlands
14%
21%7%
14%14%
0%
14%
14%
0%
5%
14%
5%
14%
10%
5%19%
10% 10%
central
advocacy
WorkingOffice space
Professionaladvice
Equipment
Knowledge centre/resource library
mentorship
funding/investment
Networking/Linkages
information
$ Fee Chargedfor Servicesequity
investment
Corporatesponsorship
$ 45%
59%14%
9%
Grants/externalfunding
$9%
$tanzaniangovernment funding
$ $Internal Revenue55%
Sources of funding
Incubators and Accelerators
Innovation Ecosystem Stakeholders
Individuals
Reginald Mengi 14 mentions
Said Salim Bakhresa 8 mentions
Mohamed Dewji 6 mentions
• Only a handful of respondents self-identified as mentors in the survey
• Out of the role models mentioned by survey participants, only a few received more than five mentions
Top 3 role models mentioned by survey participants
Innovation Ecosystem Stakeholders
Funders
• Small sample size
• Included in stakeholder group: donors, angel investors, banks, investors, microfinance institutions, challenge funds, other finance institutions
• Access to finance cited as top barrier to innovation
Innovation Ecosystem Stakeholders
Government
• Several initiatives cited COSTECH, SIDO, NEEC, TIRDO, TEMDO, CAMARTEC, government ministries and research institutes
• Issues around decentralisation, taxation, business licensing and registration
“embed advisors within the government specifically focused on
public-private partnerships”
Innovation Ecosystem Stakeholders
Academia and educators
• Education considered a major factor in developing innovation attitude
• Entrepreneurship and innovation treated as
cross-curricula rather than separate subjects
“innovators need to see readily accessible success stories to encourage them to innovate”
Innovation Ecosystem Stakeholders
Media
• Missing component of initial stakeholder groups
• Integral to sharing success and failure stories and highlighting local or sector-specific role models
“international and national media does not highlight Tanzanian innovations”
Where innovation ecosystemstakeholders access
information on innovation
46%
19.8
%
19.5
%
17.6
%
12.2
%
11.9
%
10%
7.9%
7.9%
5.5%
Internet Universities/education/
training centres
Peer interaction Networks Conferences/workshops/
trainings
Publications/media/booksnewsletter
Experts insector
SIDO Government/ministries
Research
50
25
Connections within the ecosystem
Connections within the ecosystem
• 58% of survey respondents indicate belonging to a network or association
• Spread – some local and some national
24%$tanzaniangovernment funding $
Grants/externalfunding
48%Fee Chargedfor Services
38%$Corporatesponsorship
14%$
equityinvestment
0%$81%Internal Revenue
Sources of funding
Networks & associations
Connections within the ecosystem
• Anecdotal evidence points to whatsapp groups and facebook groups as platforms for connection
• Kijana Jiajiri• World Beekeepers Forum• Tanzania Social Entrepreneurship Forum
Connections within the ecosystem
• 68% of survey respondents indicated working with a partner (defined by joint activities, collaboration and/or resource sharing)
• Several in-depth interview participants mentioned that partnerships were not necessarily high-value
mention working withacademia and research
60%30%mention partneringwith businesses
Among governmentministries, departments,
or agencies,thirtyfour%22%
Among innovative business participants,
indicate working in partnershipwith the government,
indicateworking withacademia/research
Among universities and research respondents,
fifteen%mentionpartneringwithbusinesses;
indicate workingwith governmentpartners 38%
Business
Government
University
Effective TripleHelix Structure& Process
Innovation-basedeconomic growth
source: Stanford University Triple Helix Research Group, “The triple helix concept.”
Connections within the ecosystem
Barriers to InnovationBarriers to innovation
63%
29% 27% 25% 22% 19% 18% 18% 17% 12%
Accessto finance
Barriers
Percentage of survey respondents who included the barrier as one of the top three challenges they face in innovations they are working on, or innovation in general
Per
ce
nta
ge
of
su
rv
ey
re
spo
nd
en
ts
Access toInformation
Lack ofpartnerships and
collaborativeopportunities
Attitude Technology Sector-specificskills
Business skills Environmentto support
growth
Infrastructure GovernmentPolicies andRegulation
100
50
25
75 Access to �nance (63%), lack of partnerships (29%) and attitude (27%) were identi�ed as the top three barriers to innovating in Tanzania.
Next steps
• Awareness around different types of innovation and innovators (hubs, media, educators)
• Make local case studies available to aspiring or early-stage entrepreneurs through existing platforms
• Increase incentives for collaboration and financial access
• Delineate clear responsibilities in the ecosystem to address barriers