Creating Innovation System in Russia, 2005

8/14/2019 Creating Innovation System in Russia, 2005

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CREATING INNOVATION

SYSTEM IN RUSSIA: STATE OFTHE ART AND GOVERNMENT

POLICY

Irina Dezhina

Leading Researcher, Ph.D.

Institute for the Economy in Transition

Moscow, Russia

[email protected]
mailto:[email protected]:[email protected]


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CONTENTS

1. R&D, Graduate Education and InnovativeActivity in Russia: Major Indicators.

2. Periodization of Government Reforms.

3. Attempts to Reform Organizational Structure.

4. New Mechanisms of Financing.

5. Human Resources Policy.

6. Government Innovation Policy.

7. Strengths and Weaknesses of the National

Innovation System in Russia.


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4/25

Organizations Implementing R&D

by Types of Ownership

7 3,4 73 ,2

4 ,9

1 1,5

2 0 ,5

1 2,8

0 ,6 1 ,6 0 ,6 0 ,9

0,0

10 ,0

20 ,0

30 ,0

40 ,0

50 ,0

60 ,0

70 ,0

80 ,0

%

Fe d e ral Pr ivate P u b lic- P r iva te Jo in t Ru s s ian -

Fore ign

Othe r

1 9 9 5 2 0 0 4


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Gross Domestic Expenditures on

R&D: Russia and Other Countries

3,98

3,49

3,15

2,64

2 ,6

2,57

2,55

2,19

1,89

1,29

1,26

1,13

0,95

0 0,5 1 1,5 2 2 ,5 3 3 ,5 4 4,5

Sw e den

F in la n d

Ja pa n

Ko r e a

US A

S w itze rlan d

Ge rm a ny

F r a n c e

U K

Russia

Cze ch Re public

Ukra ine

Hunga ry

% G D P


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Business Enterprise andGovernment Expenditures on R&D

(data for 2003)

62

30

40

54

23

60

0

10

20

30

40

50

60

70

%

OECD countries Eastern Europe Russia

Business enterprise expenditures Government expenditures


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Fundamental Research in Russian

Universities and Academic Institutes(in percent to the total expenditures on fundamental research)

20002001

20022003

2004

Universities

Academic institutes

61,2 62,665,6

63,7

69,4

12,0 13,8

12,3 15,4

12,8

0,0

10,0

20,0

30,0

40,0

50,0

60,0

70,0


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Researchers in Russia: Actual

Number and Dynamics to thePrevious Year

101 , 4

99 , 1

98 , 1

98 , 8

98,0

4 0 1 4 2 5

4 0 9 7 7 5

4 1 4 6 7 6

4 2 2 1 7 6

4 2 5 9 5 4

96,0

97,0

98,0

99,0

1 0 0 , 0

1 0 1 , 0

1 0 2 , 0

2 0 0 0 20 0 1 2 0 0 2 2 0 0 3 2 0 0 4

%t

o

previousyear

3 8 5 0 0 0

390000

395000

4 0 0 0 0 0

4 0 5 0 0 0

4 1 0 0 0 0

4 1 5 0 0 0

4 2 0 0 0 0

4 2 5 0 0 0

4 3 0 0 0 0

headcount


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Distribution of RussianResearchers by Age, %

10022.027.821.913.015.32004

10021.827.023.913.813.52002

10020.726.926.115.610.62000

10018.027.928.318.17.71998

1009.026.131.724.09.21994

TotalOlder

then 60

50-5940-4930-39Younger

then 29


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Graduate Education in Russia

22.821.920.620.021.120.518.2Share of graduated,in % to the number

of those who studied

32595307992810125696248282198211369Number people

having finished their

graduate study

14266214074113624212842011771410703162317Number of graduate

students, headcount

2004200320022001200019991995


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Current Role of GraduateSchool

Training of new generation of scientists is not the onlyand not the major function of graduate school. Otherpurposes of graduate study:

To escape the draft

To take time to decide concerning future occupation To receive Ph.D. in order to seek better employment inbusiness sector

That is why: The share of graduated is slightly more then 1/5th. In late

Soviet period it was about 1/3rd.

From the total number of graduates only 25% defend thesis.

According to the Ministry of Education and Science, about10% of graduates continue career in science.


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Scientific Results

(Science Citation Index 2001)

4 3 ,6 8

8 ,2 3

7 ,2 9

7 ,1 4

4 ,8 7

3 ,7 5

3

0 ,8 2

0 ,2 2

0 ,2

0 5 1 0 1 5 2 0 25 3 0 3 5 4 0 4 5 5 0

U S A

U K

J a pa n

G e rm a ny

Fra nc e

Ca n a d a

Ita ly

Rus s ia

H ung a ry

Cze c h R e pub lic


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Research Productivity

3 2

3 83 9

4 7

7 4

0 , 1 6

1 , 1 7

1 , 2 7

0 , 6 20 ,6 8

0

1 0

2 0

3 0

4 0

5 0

6 0

7 0

8 0

R u s s ia S lo v a k ia P o la n d H u n g a r y C z e c h R e p u b lic

0

0 ,2

0 ,4

0 ,6

0 ,8

1

1 ,2

1 ,4

Perso nn e l in R & D p er 10 00 0 eco no mica l ly ac t ive po pu la t ion (2003 )P u b li c a ti o n s p e r r e s e a r c h e r d u r in g 1 9 9 6 -1 9 9 9


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Patent Applications Granted byUSPTO / Million population

(2003-2004)

0 ,4 1

0 ,4 4

1 ,2 1

3 ,1 4

5 ,1 6

7 7 ,9 1

1 4 6 ,8 1

2 8 9 ,8 7

3 2 0 ,7 0

0 ,0 0 5 0 ,0 0 1 0 0 ,0 0 1 5 0 ,0 0 2 0 0 ,0 0 2 5 0 ,0 0 3 0 0 ,0 0 3 5 0 ,0 0

M old ov a

U k ra in e

Ru s s ia

Cz e c h R e pub l ic

Hu ng a ry

W e s te rn E u ro pe

G 7

J a p a n

U S A


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Innovative Enterprises as Share

of Total Industrial Enterprises

6,2%

10,6%

9,6% 9,8%10,3% 10,5%

0,0%

2,0%

4,0%

6,0%

8,0%

10,0%

12,0%

1999 2000 2001 2002 2003 2004


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Survey Data About Innovative

Activity at Industrial EnterprisesCompared to Goscomstat (10,5% in 2004)

other surveys give different results:

IET Survey, 2003: 43% IET Survey, 2005: 50%

Survey of Russian Economic Barometer

(2003-2005): 40-45%

HSE Survey, 2005: 37%


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Small Innovative Enterprises

Registered at Economic SectorScience and Scientific Services

-4.4

37.1

1999

-6.3-2.6-20.4-7.8-16.7-11.6Changes in the

number, in % to

the previousyear

20.722.122.728.530.938.8Total number,thousands

200420032002200120001998


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Periodization of Reforms

1992-1996: preservation of science in Russia during

economic crisis; creation of new organizational and

institutional framework.

1997-2001: frequent changes in science &innovation policy. Appearance of concept of NIS

seen as an instrument of commercialization of R&D.

2002-present: attempts to start structural reforms in

science, create favorable environment forinnovations. Concept of NIS has been developed but

science is still not seen as integral part of it.


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Organizational Reform inGovernment R&D Sector

Research organizations working in applied area shouldbe privatized or transformed from government to non-government non-commercial organizations.

Academic research institutes will be reformed by thePresidium of the RAS. Some institutes will be merged.The total decrease in the number of personnel should not

exceed 20% by the year 2008.

To the year 2015 there should be decrease in thenumber of federal R&D organizations by 38%.

Research in universities should be strengthened through:

1. Cooperation with academic institutes,

2. Awarding of status of innovative universities to 30-40selected higher educational institutes (17 already got thisstatus on summer 2006),

3. Creation of national universities.


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Financing of R&D from the FederalBudget: Major Approaches

1. Strong support of fundamental research (65% of thegovernment expenditures on civilian science in2005).

2. Increased share of funds distributed on the basis ofcompetitive contracts (Ministry of Education andScience 73% in 2005 versus 23% in 2004).

3. Start of joint initiatives with industrial enterprises(joint research projects; infrastructure; venture

financing).4. Stable share of federal science foundations in the

total government expenditures on civilian science.


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Government Policy Towards

Human Resources in R&D Small support of young (additions to

salary; prizes, grants)

Program of constructing housing for youthis implemented in an adequate scale

No conditions for career development,support of older generations ready to retire

Absence of special policy to promotemobility and to attract researchers to Russia


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Government Innovation Policy

Creation of Government-supported Venture Funds(including Fund of Funds) distributing seed financingfor support of start-up companies

Development of legal basis for public-private

partnerships Tax exemptions for R&D and technological activity

Government support for development of regionalinnovation clusters

Establishment of couching-centers and training centers Further development of technical infrastructure(technology parks, TTOs, incubators)


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Strengths of the NIS in Russia1. Growing popularity of higher and graduate

education. Large share of population with highereducation.

2. Large number of S&T workers.3. Strong fundamental research.

4. Learning from foreign experience, attempts toadapt certain internationally-recognized models.5. The development of the National strategy for

strengthening NIS.6. Creation of innovative infrastructure and linkages

among key actors of innovation systems.7. Tax incentives for R&D are developing (at specialeconomic zones; under discussion for industrialenterprises and technology parks).


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Weaknesses of the NIS

1. Comparatively large government R&D sector and smallindustry sector.

2. Lack of coordination among major policies (macroeconomic,educational, research, industrial, regional, etc.).

3. Inefficiency of the State administration of R&D (lack oftransparency in decision-making, funds allocation, weak

program monitoring).4. Flaws in the legislation (budget issues, IPR, support of small

innovative companies).

5. Poor linkages between science and production sector. Lowcommercial output of the R&D investments (use of patents,

licenses).6. Inadequate diffusion of successful mechanisms.


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Necessary Actions Introduction of the concept of NIS that includes

science as a component of it.Establishment of coordination among

government agencies in order to make innovation

policy more consistent. Improvement of legal environment for R&D and

innovation.Support of public-private partnerships in

innovation: joint R&D projects, outsourcing of

R&D.Development of government indirect regulations

to stimulate innovations.

Documents

Creating Innovation System in Russia, 2005