Enhancing the efficiency of the cooperation between business and science – Moving away from silos through a mission-orientated STI policy Final Report Project funded under the call for tenders No SRSS/C2019/065 Dr Jelena Angelis Dr Lisa Cowey Dr Agnė Paliokaitė Elžbieta Jašinskaitė Alasdair Reid Kimmo Halme 17 December 2020 The project was funded by the European Union via the Structural Reform Support Programme and implemented i by EFIS Centre and Visionary Analytics in cooperation with the European Commission's Directorate General for Structural Reform Support. Table of content 1 Introduction ............................................................................................................. 1 2 Bottlenecks and drivers for business-science cooperation in Lithuania ................. 4 2.1 Strategic business-science collaboration context in Lithuania ...................................... 4 2.2 Health technologies and Biotechnologies (Life sciences) ............................................. 7 2.3 Information and Communication Technology ............................................................. 15 2.4 Engineering (focus on photonics and laser technologies) .......................................... 21 2.5 Agro-innovation and Food technologies ..................................................................... 27 2.6 Drivers and barriers for business-science collaboration in STI ................................... 33 3 Review of international experience from Ireland, Sweden and the Netherlands .. 37 3.1 Economic and innovative performance ....................................................................... 37 3.2 Support to business-science cooperation ................................................................... 42 3.3 Pre-commercial procurement and procurement of innovation .................................... 49 4 A synthesis of lessons learnt ................................................................................ 53 4.1 Design and implementation of research and innovation policies ................................ 53 4.2 Sector Specific issues ................................................................................................. 56 4.3 Key lessons learnt Public Procurement of Innovation ................................................. 56 5 Conclusions .......................................................................................................... 58 6 Recommendations ................................................................................................ 67 6.1 Summary of the recommendations ............................................................................. 67 6.2 Recommendation 1: Apply mission-orientation to the National Science and Technology Programmes ........................................................................................................ 68 6.3 Recommendation 2: Apply mission-orientation to the sectorial context ...................... 77 6.4 Changes to governance and implementation ............................................................. 86 6.4.1 Recommendation 3: Define missions through a combined top-down and bottom-up approach ........................................................................................................................................... 86 6.4.2 Recommendation 4: Link missions with Smart Specialisation strategy ............................. 88 6.4.3 Recommendation 5: Expand a list of beneficiaries in the NSTPs and other support measures ........................................................................................................................................... 88 6.4.4 Recommendation 6: Encourage cross-sectoral and cross-disciplinary consortia .............. 89 6.4.5 Recommendation 7: Make monitoring and evaluation an integral part during design and implementation of the programmes ................................................................................................... 90 6.4.6 Recommendation 8: Reduce fragmentation and lack of strategic orientation on the national level ........................................................................................................................................... 90 6.5 Recommendations on pre-commercial and innovation public procurement ............... 91 6.5.1 Recommendation 9: Continue the support for PCP and PPI ............................................. 91 The project was funded by the European Union via the Structural Reform Support Programme and implemented i by EFIS Centre and Visionary Analytics in cooperation with the European Commission's Directorate General for Structural Reform Support. 6.5.2 Recommendation 10: Develop PCP/PPI capacities within the public sector ..................... 92 6.5.3 Recommendation 11: Introduce a buyer-supplier dialogue ............................................... 93 6.5.4 Recommendation 12: Increase an up-take through positive examples ............................. 94 Annex 1 International comparator - Ireland .................................................................. 96 Annex 2 International comparator – Sweden ............................................................. 116 Annex 3 International comparator – The Netherlands ................................................ 136 Annex 4 Background information used for the review of the Lithuanian context ........ 156 List of Figures Figure 1 Current support project in the context of the long-term development of Lithuania ......................................................................................................................... 1 Figure 2: Timeline of major events in the Lithuanian STI system during 2007 – 2020 ... 5 Figure 3: Life Sciences – a map of most relevant sector entities and basic information about the industry ........................................................................................................... 8 Figure 4: ICT – a map of most relevant sector entities and basic information about the industry ......................................................................................................................... 16 Figure 5: Engineering sector – a map of relevant photonics and laser technology sector entities .......................................................................................................................... 22 Figure 6: Agro-food sector – a map of relevant sector entities. .................................... 29 Figure 7: Example – Disruptive Technologies Innovation Fund, Ireland ...................... 61 Figure 8: Example – Vision-Driven Innovation environments in health area, Sweden . 61 Figure 9: Example – Strategic Innovation Programmes, Sweden ................................ 62 Figure 10: Example – Top sector in Food and Agri field, the Netherlands ................... 63 Figure 11: Suitability of suggested scenarios for the four sectors ................................ 78 List of Tables Table 1: Key activities as proposed in the Guidelines for Life Science Industry Development Action Plan. ............................................................................................ 12 Table 2: Changes in RIS3 related to ICT ...................................................................... 15 Table 3: Changes in RIS3 structure regarding new production processes, materials and technologies ................................................................................................................. 21 Table 4: Strategic areas and actions to be taken to accomplish the sector’s vision ..... 26 Table 5: Changes in RIS3 structure regarding agro-innovation and food technologies 28 Table 6: Sector-specific drivers and bottlenecks .......................................................... 34 Table 7: Comparative economic performance .............................................................. 37 Table 8: Comparative R&D funding performance ......................................................... 39 Table 9: Comparative innovation performance ............................................................. 40 The project was funded by the European Union via the Structural Reform Support Programme and implemented ii by EFIS Centre and Visionary Analytics in cooperation with the European Commission's Directorate General for Structural Reform Support. Table 10: Strong and weak innovation dimensions in the four countries ..................... 41 Table 11: Comparative performance in innovation procurement .................................. 50 Table 12: Development of support to business-science cooperation in Ireland, the Netherlands and Sweden ............................................................................................. 59 Table 13: Mission-driven approach complementing ‘An R&D map of Lithuania’ .......... 65 Table 14: Recommendations for Lithuania ................................................................... 67 Table 15: Scenarios for the introduction of a mission-driven approach to the Lithuanian Science, Technology and Innovation Policy ................................................................. 69 The project was funded by the European Union via the Structural Reform Support Programme and implemented iii by EFIS Centre and Visionary Analytics in cooperation with the European Commission's Directorate General for Structural Reform Support. Acronyms AI Artificial intelligence AKTS Annual Knowledge Transfer Survey AWIT Advisory Council for Science, Technology and Innovation CDI Challenge-Driven Innovation CEST Centres