BQ 07

Governance of Innovation and RegionsIreland: the Shannon Experience

Dr. Brid Quinn

Department of Politics & Public Administration

University of Limerick

e-mail: Brid.Quinn@ul.ie

BQ 07

Conceptual Framework

Regional development is framed by governance structures and mechanisms

Innovation is circumscribed by the principles, practices and processes which underpin collective action in the region

the governance approach increases the salience of the local and regional levels as the site of intersection of horizontal and vertical networks

analyses of governance identify – changes in the controlling and co-ordination roles of the state – the augmentation of hierarchical and market mechanisms of governing with

the networking approach.

BQ 07

Ireland

strong central government with subordinate local authorities answerable to and financially dependent on the centre

persistent lack of effective regional structures EU induced changes including creation of regional

structures NOW a more regionalised focus in Irish policies and

provision Only 2 dedicated regional development agencies

currently exist Udaras na Gaeltachta & Shannon Development

BQ 07

Ireland - context

Late industrialisation Uneven development * Significant development policies - economic, education, industry

Partnership as a modus operandi at national and sub-national levels

National Innovation Strategy evolved differently and later in Ireland

Governance of innovation in Ireland involves policy-

makers, advisors and implementing organisations Total R&D spending in 2006 was up 14% on 2005

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Ireland’s uneven development

GDP per capita (PPS) 2000 2004EU 27 = 100

Ireland 132.3 141.4

BMW region 91.5 101.1

S&E region 147.0 156.5

EU-15 115.2 113.2

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The Shannon region

10,000 square kilometres spanning counties Clare, Limerick, North Tipperary, South Offaly and North Kerry,

which collectively have a population of over 450,000

people.

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Shannon Development

Shannon Airport - a location for entrpreneurial innovation since 1939

1959 Shannon Free Airport Development Company (SFADCO) incorporated as a legal liability company

1960s - SD – identified the economic sectors which had the greatest

potential for growth,

– harnessed the resources of the region

– attracted investors and employers to the zone

1968 the remit of SFADCO was broadened to include

regional industrial development

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Changing focus

late 1970s - debate about the impact of the Shannon zone’s continuing growth on the rest of the region and the Shannon zone’s dependence on foreign industry

reallocation of tasks between SFADCO and the Industrial Development Authority (IDA)

2007 restructuring - S D’s enterprise support functions were re-allocated to the national agencies Enterprise Ireland (indigenous industry) and IDA

(exogenous industry).

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Current Goals of Shannon Development

To enable the more developed areas of the Shannon Region achieve their full development potential.

To ensure that the potential of the less developed areas of the Shannon Region is realised.

To create demand for the Shannon Airport Gateway (Annual Report 2006).

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Shannon Development’s multi-faceted role

two-strand approach,– enhancing the region’s economic environmen

– nurturing innovation RIS and RIS+ programmes prepared the Mid-West Regional Authority’s

Development Plan leader in the Southern and Eastern Regional

Innovative Action Programme during the NDP 2000-2006

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Recent activities

co-directing the Atlantic Gateways initiative with the Department of the Environment, Heritage and Local Government

continuing expansion of the Shannon Development Knowledge Network

collaborating with local authorities to improve connectivity implementing the E-towns concept property initiatives, tourism development operations and

ongoing employment creation – At the end of 2006 - 20,530 people in S D assisted companies

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Significant factors in SD success

SD not only a regional economic development body, but also plays a role in policy development and innovation strategies

SD places emphasis on learning, innovation and supporting experimentation

SD adjusted its approach to reflect changing international, national and regional trends and priorities and to respond to technological change

BQ 07

Shannon Development’s contribution to the region

Formal/informalSectoral

LINKAGES

Regional/local/national/ international

Capacity

LEARNING

Application

Adaptation

Vision

LEADERSHIP

Action People Reflection

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Issues

Role complexity of linkages potential for duplication & overlap remoteness from people transparency SD vis a vis formal democratic institutions Threats - Shannon Airport routes & loss of

industrial function

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Conclusions

Shannon Development has atypical status in Ireland’s governing structures – both a part of and apart from formal governance structures – freedom to do things differently

Shannon Development has served as a responsive laboratory for industrialisation and innovation adapting to changes in the development paradigm

Its impact has been both tangible and intangible Continuity, Adaptability, innovation , networking