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Intotalo: a Community Mobilised to Inspire Young Entrepreneurs Itä

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Intotalo: a Community Mobilised to Inspire Young Entrepreneurs Itä Intotalo: a community mobilised to inspire young entrepreneurs Itä-Suomi, Finland SYNTHESIS Intotalo (“Into house”) was a three-year project in the Kainuu region promoting individual development and entrepreneurship among young people. The project created a pre- incubator1 supporting developing new business projects, increasing interaction between educational institutes and enterprises in project activities as well as building networks between enterprises and students in early years of their academic programmes. The basic challenges under-pinning the project idea were the continuous brain drain of young people from the rural and peripheral Kainuu region, high unemployment, and the fact that the number of enterprises per capita and interest in entrepreneurship in the region had both been very low. Some studies also indicated that many young people would probably stay or move back if the local environment would offer possibilities to live and work in the region. At the same time, the traditional methods of entrepreneurship education did not seem to be successful in lowering the threshold for young graduates to become entrepreneurs. As a result, several local educational institutions were looking for new ways to align entrepreneurship studies closer with practice. The novel Intotalo idea promoted by a couple of young entrepreneurship trainers with the support of the Mayor of Kajaani provided a turnkey solution to these needs. The partnership for the project consisted of the Kajaani town, the joint authority of the Kainuu region and eight enterprises from the Kainuu region. Local educational institutes from the upper secondary school to local university units were also actively involved in the project. The project had a focus on the following activities: - entrepreneurship and project training provided within secondary level schools; - a learning environment for entrepreneurship and project skills developed within tertiary education; - coaching and business development made available from the very early stages of enterprise development. The practical activities of Intotalo focused on supporting new firm foundations, facilitating joint projects between students, start-ups and established companies and organising training courses and other events that support entrepreneurship among students. Intotalo also offered office desks at the training centres in Kajaani and Vuokatti to the young entrepreneurs involved in training programme. Intotalo primarily addresses students from secondary and vocational schools to university and technical centres, but also other people interested in entrepreneurship. Intotalo creates a community where young entrepreneurs can develop their business ideas with the help of professional coaching and with the support of the other young entrepreneurs. The Intotalo 1 Pre-incubation supports a business idea at the stage of conception and business planning of the emerging company or, in other words, it is not necessary for the company to be defined in legal terms or to possess a product or service that is ready for marketing. companies form a network where experience is exchanged, mutual learning takes place and business can be developed together. It also helps new enterprises to get their first customer connections and joint projects through a wide network of local enterprises. By 2007, a total of 31 companies were located in Intotalo or created with the support of Intotalo. During the project, a total of 15 new enterprises were created directly, 76 joint projects with enterprises were initiated, 513 people participated in various training activities and a total of 840 people participated in various events. Of the created companies, five are active in software (e.g. three dimensional modelling, digital media and content creation ), six in business services (e.g. accounting, translation, public relations and marketing), the others provide training services, nursing services and leisure services. In addition, four other businesses were born in 2006, whose founders had participated actively in Intotalo training. Moreover, a cooperative, “Intotalon osuuskunta”, was established for organising and managing the business development projects of the Intotalo entrepreneur students. In addition to these concrete results, the project led to organisational and social innovations. Intotalo created a new innovative learning environment where ideas can be quickly developed and assessed together with professional coaches and an extensive network of other actors. The support to innovation is also realised in the new way of practice oriented entrepreneurship training that is provided by Intotalo staff in close collaboration with the local educational institutes. The project has not been limited by industry sector, technology or an academic discipline but has been open to all levels of education and fields of activity. Intotalo received a very positive feedback and currently continues its operation as a separate unit of the Kajaani Technology Centre, owned by the town of Kajaani. Based on the project, similar initiatives have been established in several other Finnish towns. Background information Country: Finland Region: Itä-Suomi (East Finland) Project title: Intotalo - Entrepreneurship training centre Key words: support for enterprises: start up, spin off, incubators, new business process; education and training, life long learning Duration of project: January 2003 – December 2005 Funding: total budget €534,562 ERDF contribution €253,687 national budget €120,586 regional budget €133,097 private contribution €27,192 ERDF Objective: Objective 1 2 1. PROJECT DESCRIPTION Intotalo's overall objective was to promote individual development and entrepreneurship among young people, thereby facilitating the creation and growth of new enterprises. The main operational aim of this, three-year, project was to establish a pre-incubator service to assist local young people to develop business ideas. The project promoted a community based entrepreneurship model, where people work together, share their ideas and problems and get hands on coaching from professionals. It was expected that this would direct more young people to entrepreneurship and increase their skills to better meet the challenges of working life. It was envisaged to tighten the links between educational institutes and enterprises through training, practical project activities and building networks between young people and enterprises from the onset of their studies. The project's activities were to produce the following outcomes (or results): - entrepreneurship and project training is provided within secondary level schools; - learning environment for entrepreneurship and project skills is established within the tertiary education level; - coaching and business development is made available from the very early stages of enterprise development. The practical activities included: - providing support for start-ups (coaching and advise on business development and office desks at the project centres); - facilitating joint projects between students, start-ups and established companies; - organising specific training courses and various other events that support entrepreneurship among students of both secondary and tertiary level schools. The project facilities located in the town centre acted as a place for young entrepreneurs to work, but were also used for training and business networking. Intotalo offered office desks at the centres in Kajaani and Vuokatti to the young entrepreneurs involved in the training programme. In this way the project provided a day-to day support for students and young entrepreneurs to develop their business ideas. The direct beneficiaries were secondary school and university students and graduates interested in entrepreneurship. Intotalo created a community where young entrepreneurs could develop their business ideas with the help of professional coaching and with the support of other young entrepreneurs. The companies located in Intotalo formed a network where experiences were exchanged, mutual learning took place and business could be developed together. This part of the activities included sharing a working space with other entrepreneurs and coaching staff. A number of educational institutes were indirect beneficiaries of the project, e.g. Kajaani upper secondary school and Kajaani vocational school. Close collaboration took place with the Kajaani University Centre. Students from Kajaani Department of Teacher Education and the Department of Information Processing Science participated in “Into Academy” activities that included entrepreneurship and project management training. In 2007, student groups from Kajaani University of Applied Sciences also participated. Other indirect beneficiaries of the project are local enterprises who now have a network of local students and undertake joint research and development projects with young entrepreneurs. 3 The main quantitative results of the projects have exceeded initial expectations. Over three years, 513 students (initial target was 350) participated to training courses and 17 (initial target 11) new companies were founded through Intotalo’s pre-incubator. The project facilitated creation of 76 joint projects (target 60) and a total of 840 (target 800) people participated in events. Other main results were the creation of INTO-academia studies as part of the official studies of the Oulu University and the creation of INTO summer job initiative; where young people have created a summer job for themselves
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