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Ontario's Regional Economic Development and Innovation Newsletter

Issue #33                                                                         February 1, 2002

  Studies & Publications: Announcements | Editor's Pick | Innovation Policy | Regions & Clusters | Statistics
Events
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This newsletter is published by ONRIS at the Centre for International Studies, University of Toronto, and jointly sponsored by the Ministry of Economic Development and Trade and the Ministry of Energy, Science and Technology. The views and ideas expressed in this newsletter do not necessarily reflect the views and policies of the Ontario Government.

Next issue: February 15, 2002

ANNOUNCEMENTS                                                                    [Table of Contents]


Canada ranks first in KPMG business competitiveness study for 2002

KPMG’s ‘Competitive Alternatives’ report, which measures the combined impact of 27 business cost components that are most likely to vary by location, has found Canada to be the leader among G-7 countries.  The 10-month research program covered more than 85 cities throughout Austria, France, Italy, Germany, the Netherlands, the United Kingdom, Canada, the United States, and Japan and over 1,000 individual business scenarios. Among major metropolitan centres, Montreal, followed by Toronto, have the lowest costs while in metro areas, with populations of between 100 000 and 500 000, Kitchener- Waterloo-Cambridge leads the way with costs much lower than in any of the cities in North Eastern United States, and 14.3 percent below the US benchmark.

Canada’s Technology Triangle A Hotbed of Foreign Investment

Preliminary findings of a study commissioned by the Federal Department of Foreign Affairs and International Trade reveals Canada’s Technology Triangle is home to a higher concentration of foreign investment than any other community in Canada.  The study, completed by Matthew Fischer & Assoc. Inc., London Ontario, profiles the extent of foreign investment and total employment numbers in foreign-owned enterprises in twenty-five communities across Canada.

Ottawa Based Companies Continue to Attract Investment

According to a study by the Ottawa Centre for Research and Innovation (OCRI), Ottawa-based companies continued to attract high levels of capital investment last year from Canadian, US and overseas venture capital firms, totaling nearly $922 million. Though 10 per cent less than the $1.3 billion record set a year earlier, the drop was a far cry from the 63 per cent, third-quarter plummet seen in the United States.

Federal government invests $779 million in research infrastructure

The Federal Government, through the Canada Foundation for Innovation (CFI), has announced an investment of $779 million to support projects at 69 Canadian universities, colleges, hospitals, and not-for-profit research institutions. “This investment represents an historical milestone in supporting the highest levels of research excellence, and in moving Canada's innovation agenda forward," said Dr. Strangway, President and CEO of CFI. Of the total, $588 million will support 208 projects at 65 institutions under the Innovation Fund, and $11 million will be allocated to 72 projects at 31 institutions to support new researchers under the New Opportunities Fund. The remaining $180 million is to be allocated under the Infrastructure Operating Fund to contribute to the incremental operating and maintenance costs associated with the new infrastructure projects.

EDITOR'S PICK                                                                          [Table of Contents]


Innovation and competitiveness in European biotechnology

European Commission

This report analyses the current status of innovation and production systems in European biotechnology, and, in particular, the innovative capacity and related factors that are some of the major determinants of the competitiveness of European biotechnology firms.  The paper argues that biotechnology is best understood as a system or network whose innovative activities, production and commercialization involve a large variety of actors including different types of firms, research organizations, financial institutions, regulatory authorities, governments, health care systems, and consumers.  As such the competitiveness of innovation and production systems in biotechnology must be assessed by looking not only at the individual firms, but also at the broader set of institutions, infrastructures, and policies that influence the actions of companies, and – even more important – at the dynamic interactions between these levels of analysis.  The authors note that the sector is characterized by a new breed of agents, small specialized firms – dedicated biotechnology firms (DBFs) – that have entered the industry with the explicit aim of exploiting the new technologies of life sciences for different industrial purposes. These firms are having a remarkable and radical impact on pharmaceuticals and agriculture.

INNOVATION & RELATED POLICY                                              [Table of Contents]


Innovation Policy for the Knowledge-Based Economy: From the Red Book to the White Paper

D. Wolfe, University of Toronto

This paper, to be published in How Ottawa Spends 2001, reviews the government’s analyses of Canada’s innovation performance and its prescriptions to remedy its shortcomings against the innovation systems approach developed by a number of international scholars. It evaluates the effectiveness of the current policy mix and questions whether the deployment of new funds - without a better understanding of the nature of the innovation system in this country - will suffice to achieve the government’s stated goal.  The author concludes with a recommendation that a truly effective policy to support the research and technological infrastructure of the innovation system must adopt a more holistic approach to their funding and operation.  Such an approach would avoid the current situation where federal policy towards research in the higher education sector continues to pretend that it operates in a vacuum, ignoring the fact that much of the rest of the operating funds for these institutions flows through the provincial governments and is strongly affected by other federal policies.

Sources of Ideas for Innovation in Engineering Design

A. Salter and D. Gann, SPRU

In exploring the sources of ideas for innovation in engineering design, this paper shows that engineering designers involved in complex, non-routine design processes rely heavily on face-to-face conversations with other designers for solving problems and developing new innovative ideas. The research is based on a case study and survey of designers from Ove Arup & Partners, a leading international engineering consultancy. The authors examine the role of different mechanisms for learning about new designs, the motivations of designers, problem solving and limits to designers' ability to innovative. Also explored is how the project-based nature of the construction sector shapes the ways in which designers develop new ideas and solve problems.

Innovative Instruments For Raising Equity For SMEs In Europe

Prepared on behalf of the DG Enterprise Of The European Commission, this report provides an overview of the equity needs of European SMEs, examining the role of informal investors, debt-equity substitution and the nature of any market failure. Advantages and disadvantages of the various forms intervention to close the equity gap are also analyzed with references made to the range of practices found in EU member states and in the United States. The report also surveys the record of intervention using financial instruments within Europe on the equity gap issue with much of the discussion covering guarantee experiences.

Benchmarking National E-Business Policies

European Commission

This report describes and benchmarks national and regional policies and instruments for the promotion of e-business for SMEs in Member States of the European Union. The intent of the initiative is not to provide a ranking of the participating countries, but to analyze policies with a view to stimulating the generation of new ideas by policy makers, adapted to the specific context of their countries or regions. The statistical findings of Eurostat confirm that practically all large enterprises are using ICT tools,  most large enterprises have web access, and that a significant proportion of them are buying and selling via the Internet.

REGIONAL INNOVATION & CLUSTERS                                      [Table of Contents]


Technology and Tolerance: Diversity and High Tech Growth

R. Florida and G. Gates

Here is a summary from Brookings Review of Richard Florida’s theory that a city's diversity—its level of tolerance for a wide range of people—is key to its success in attracting talented people. “Diverse, inclusive communities that welcome unconventional people—gays, immigrants, artists, and free-thinking "bohemians"—are ideal for nurturing the creativity and innovation that characterize the knowledge economy”, note the authors.  Evidence for the theory is derived from four indices that capture the level of diversity and tolerance within the nation's 50 most populous metropolitan areas.  Of the four indices, (the gay index, the bohemian index, the foreign-born index, the composite diversity index) the gay index compares most favorably to the Milken Institute's "Tech Pole," a measure of high-technology industry concentration and growth, developed in a July 1999 study titled America's High-Tech Economy.

New Website: Ontario Competitive City Regions (OCCR) Partnership

The Ontario Competitive City Regions (OCCR) Partnership works with Ontario's principal urban centres to support, the efforts of civic leaders, educators and the private sector to develop strategies for regional growth.  The Partnership's efforts are focused on promoting strong linkages and dialogue, by way of symposia, between business, government, education and community leaders to generate innovative approaches to developing competitive city regions and action plans to galvanize community commitment.

STATISTICS                                                                         [Table of Contents]


Key Statistics on ICT Infrastructure, Use and Content, October 2001

Here are the latest ICT statistics from Spectrum, Information Technologies and Telecommunications Sector, Industry Canada.  Included are figures on Internet access and use, broadband, e-commerce, on-line courses, telehealth, and e-government.

EVENTS                                                                                        [Table of Contents]


Innovation and Commercialization of University Research (ICUR): Sharing the Best Practices from Around the World

Edmonton, 7-9 February, 2002

This conference, organized by The University of Alberta in collaboration with the International Association of University Presidents (IAUP), brings together leaders and practitioners from around the world to present and discuss effective strategies for commercializing university research. Participants will explore the successes, innovations, opportunities, challenges and strategies for the future in order to enhance the transfer of technology and innovation from university research to commercial and social applications in the wider community. Emphasis will be on activities that have worked and the ways innovative strategies have overcome challenges to commercializing university research.

Competing in the Video Game Sector - Collaborating To Win

Toronto, 21 February, 2002

As part of the CITO/IMAT Digital Media Speaker Series, this session will explore the challenges faced by companies operating in the gaming sector and the industry/academic partnerships forged to meet those challenges.  Partnering with academic researchers has become a low risk, cost effective way to find a competitive advantage in a US$6 billion industry that continues to grow strongly.  Presenters include Dr. John Buchanan, University Liaison Officer, Electronic Arts and Norm Silins, General Manager, Convergent Applications, Bell Canada

Regional Governance in an Age of Globalization

Stuttgart, 8-9 March, 2002

This conference aims to examine and advance theories and practices in understanding regional governance in an age of globalization. The focus will be on globalization and its impact on subnational governments around the world with a particular interest in the intersection of the international with the local and regional and how this phenomenon is affecting the development of international and transnational relations on the one hand, and governance internationally, nationally, and subnationally on the other. The influence of unprecedented technological change on globalization and governance is also of interest to the conference organizers.

Sixth International Research Conference on Quality, Innovation and Knowledge Management

Kuala Lumpur, 17-20 February 2002

The theme of this conference is ‘Convergence in the Digital Economy’, a rubric that seeks to encompass the many new ideas relating to quality, innovation and knowledge management and the associated challenges in the rapidly developing digital economy of the 21st century. Papers will be presented in such areas as ‘Quality Management and Innovation’, ‘Quality and Innovation in Services’, ‘Knowledge Management and Organisational Learning’ and, ‘Human Capital, Intellectual Capital and Innovation’.

Rethinking Science Policy: Analytical Frameworks for Evidence-based Policy

Brighton, 21-23 March, 2002

This conference focuses on new models for science policy, exploring the European context where traditional foundations for science policy have been increasingly questioned during the last few decades of science policy research as policymakers search for new methods of harnessing scientific investigation. Twenty-six new papers, including eight invited papers by leading authorities in the field of science policy, will be presented.

16th International Conference on Business Incubation: Explore Your World, Enrich Your Community

Toronto, 28 April - 1 May, 2002

Sponsored by the National Business Incubation Association and the Toronto Business Development Centre this international conference brings together industry leaders from around the world for four days of knowledge sharing and networking.  Along with pre-conference workshops, the conference includes three days of educational sessions and roundtable discussions covering incubation's latest topics.

Innovation in an Evolving Economy

Ottawa, 6-7 May, 2002

Statistics Canada’s Economic Conference 2002 will be focusing on the investments required to meet the challenges of rapidly changing economic and social realities. The event will include several plenary sessions featuring invited guest speakers who are leading authorities in their fields. It will also include presentations in which participants will discuss research providing new perspectives on topics related to one of the following sub-themes:Investing in a competitive Canada’, ‘Investing in the global context’, ‘Investing in infrastructure’ and, ‘Investing in an innovative work force’.

2002 International Symposium on Technology and Society: Social Implications of Information and Communication Technology

Raleigh, (North Carolina), 6-8 June, 2002

In an effort to establish a critical dialogue on the social and ethical dimensions of ICT, ISTAS'02 will bring together ICT professionals, computer science and engineering educators, scholars in the humanities and social sciences, students and policymakers to discuss several important and topical themes. These include electronic publishing, ICT and democratic processes, intellectual property rights in the digital era, social implications of wireless technology and gender issues in ICT. Among the plenary session speakers will be Dr. Lucy Suchman from the Department of Sociology, Lancaster University.

Industrial Dynamics of the New and Old Economy – who is embracing whom?

Copenhagen, 6-8 June, 2002

DRUID’s Summer Conference for 2002 aims to contribute to a more satisfactory understanding of the economic and organizational mechanisms underlying the current ICT-based technological and entrepreneurial growth dynamics and to examine the interface and spillovers between the new and old sectors of the economy.  Plenary sessions will be organized along four themes: Technical Change, Corporate Dynamics & Innovation, Production and Use of Knowledge in the Old & New Economy, New Competition Policies and Intellectual Property Rights, and Organisation of Internet Industry Dynamics.  Both senior and junior scholars are invited to participate and contribute with a paper to one of the parallel sessions, which will be part of the conference.  Deadline for receipt of abstracts: end of February.

Beyond The Boundaries: Challenges Of Leadership, Innovation, Integration, And Technology

Rome, 25-29 June, 2002

Co-hosted by St. John’s University and the Russian Academy of Sciences, this conference seeks to focus on unique perspectives on the critical issues related to multi-cultural, economic, technological, social, legal, and regulatory challenges public and private industries and organizations encounter. The Conference will include contributed paper sessions, invited and plenary presentations, case studies, round tables, panels, workshops and forums. Deadline for receipt of abstracts or papers: March 15, 2002.

WILL YOU BE ONE OF OUR REGIONAL REPORTERS?               [Table of Contents]


Yes, you! In an effort to improve our coverage of Ontario's regional economies in this newsletter, we are looking for a few people who are 'plugged in' to the latest local economic development and innovation happenings in their regions. All we ask is that you send us a short message once a month highlighting recent news and research initiatives from your region - please forward items that you would like to share with newsletter recipients, as well as other items of interest, to: onris.progris@utoronto.ca.

SUBSCRIPTIONS & COMMENTS                                                [Table of Contents]


Please forward this newsletter to anyone you think will find it of value. We look forward to collaborating with you on this initiative. If you would like to comment on the content, subscribe or unsubscribe, please contact us as onris.progris@utoronto.ca.
 
This newsletter is prepared by Tijs Creutzberg.
Project manager is David A. Wolfe.

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