Organisation for Economic Co-operation and Development Directorate for Education Education Management and Infrastructure Division Programme on Institutional Management in Higher Education (IMHE) Supporting the Contribution of Higher Education Institutions to Regional Development Peer Review Report: Valencia, Spain Enrique A. Zepeda, Francisco Marmolejo, Dewayne Matthews, Martí Parellada October 2006 The views expressed are those of the authors and not necessarily those of the OECD or its Member countries. 1 This Peer Review Report is based on the review visit to Valencia in February/March 2006, the regional Self-Evaluation Report, and other background material. As a result, the report reflects the situation up to that time. The preparation and completion of this report would not have been possible without the support of very many people and organisations. OECD/IMHE and the Peer Review Team for Valencia wish to acknowledge the substantial contribution of the region, particularly through its Coordinator, the authors of the Self-Evaluation Report, and its Regional Steering Group. 2 TABLE OF CONTENTS PREFACE......................................................................................................................................5 EXECUTIVE SUMMARY ...........................................................................................................6 ABBREVIATIONS AND ACRONYMS....................................................................................11 1. INTRODUCTION ...................................................................................................................13 1.1 Evaluation context and approach .......................................................................................13 1.2 The conduct of the evaluation ............................................................................................14 1.3 The structure of this report.................................................................................................15 2. THE VALENCIA REGION: SOCIO-ECONOMIC CONDITIONS AND HIGHER EDUCATION..........................................................................................................................17 2.1 Economic growth and competitiveness in Spain................................................................17 2.2 Economic trends in the Valencia region ............................................................................18 2.3 Higher education and its contribution to development ......................................................19 3. THE CONTRIBUTION OF RESEARCH TO REGIONAL INNOVATION.........................23 3.1 The role of higher education institutions in the development of the knowledge economy 23 3.2 Innovation and entrepreneurship........................................................................................25 3.3 Industry-university linkages and technology transfer ........................................................26 3.4 Strategies for coordination and collaboration ....................................................................28 3.5 Strategic planning and financing model.............................................................................30 4. THE CONTRIBUTION OF TEACHING TO THE LABOUR MARKET AND TO SKILLS DEVELOPMENT .....................................................................................................32 4.1 University graduates and the labour market.......................................................................32 4.2 University continuing education ........................................................................................34 4.3 Insertion into the labour market .........................................................................................35 5. THE CONTRIBUTION TO CULTURAL, SOCIAL AND ENVIRONMENTAL DEVELOPMENT....................................................................................................................37 5.1 Development: The broader context....................................................................................37 5.2 Strategies for regional development...................................................................................38 5.3 Emerging social issues .......................................................................................................38 5.4 Access for non-traditional student populations..................................................................38 5.5 Opportunities for experiential learning ..............................................................................38 3 6. CAPACITY-BUILDING.........................................................................................................40 6.1 Current regional capacity to support development.............................................................40 6.2 Regional development and Valencia’s higher education institutions.................................41 6.3 A more comprehensive approach to regional development ...............................................41 6.4 Improved coordination and collaboration ..........................................................................42 6.5 Legal framework for higher education institutions ............................................................43 6.6 Financing higher education to support regional development ...........................................44 6.7 Creating a system of quality assurance ..............................................................................45 7. CONCLUSIONS AND RECOMMENDATIONS ..................................................................46 7.1 General conclusions ...........................................................................................................46 7.2 Recommendations to the universities.................................................................................47 7.3 Recommendations to the region.........................................................................................50 REFERENCES ............................................................................................................................55 APPENDIX 1. THE OECD PEER REVIEW TEAM .................................................................56 APPENDIX 2. MEMBERS OF THE REGIONAL STEERING COMMITTEE AND AUTHORS OF THE SELF-EVALUATION REPORT........................................................58 APPENDIX 3: PROGRAMME OF THE REVIEW VISIT ........................................................60 Tables Table 3.1. Distribution of students in universities by areas of knowledge 2004……………..23 Table 3.2. Distribution of postgraduate students by area of knowledge………..…………….24 Figures Figure 3.1. distribution of the research budget ov Valencian universities by scientific area 24 Boxes Box 3.1 A good practice: the INNOVA Foundation................................................................27 Box 3.2. The Triple Helix Model of Innovation ......................................................................29 Box 3.3 A good practice: the Ceramics Technological Institute at Universidad Jaime I.........30 4 PREFACE We have written this report with three main readerships in mind. The first is the people working together to nurture the development of the Autonomous Community of Valencia1; a dynamic region in the east of Spain. We hope that this report will help to further strengthen the role that higher education plays and must play in fostering a more balanced development of the region. Secondly, the report is intended to be of interest, relevance and benefit to other regions in Spain, since the reflections and recommendations it contains may be relevant beyond the region of Valencia. In addition, some of the recommendations have implications for the central government. Thirdly, there is the Organisation for Economic Cooperation and Development, which, with the Higher Education Funding Council for England commissioned, and along with the region, “owns” this review. The interest of these partners is in learning internationally about the role of higher education in regional development across regions in a number of Member States, including those that are taking part in the study, and others that are not. In addition we hope to interest a wider international readership, and to provide something of value to regions both within and beyond the OECD that are not included directly within this project. Obviously it will be of particular interest within Spain to those who took part in the parallel Canary Islands region study, and it may be helpful to consult these two studies together. We are grateful for the generous hospitality of those who prepared the SER and hosted the Review visit from 27 February to 4 March, 2006. 1 The official name of the region is “Comunidad Autónoma de Valencia” or “Autonomous Community of Valencia”. In this report, the region will be referred to most of the time as “the region of Valencia”. 5 EXECUTIVE SUMMARY The Valencia region has a rich history, distinct language, and unique culture. With the movement toward greater regional autonomy in Spain, as in many other parts of the world, the Valencia region has significant potential advantages in the current global environment. With the emergence of the global knowledge economy, the importance of education to the vitality of regions has become critical. Background: OECD/IMHE review This review of the Autonomous Community of Valencia, Spain is part of the OECD/IMHE project entitled “Supporting the Contribution of Higher Education Institutions to Regional Development”