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Economic Performanceand Development
Economic Performanceand Development
Understanding knowledge networks from the bottom up in
rural district municipalities: spaces for intervention
Understanding knowledge networks from the bottom up in
rural district municipalities: spaces for intervention
Economic Performanceand DevelopmentEconomic Performanceand Development
Dr. Peter JacobsMr. Tim HartTsogo Sun HotelCape Town15 November 2013
Dr. Peter JacobsMr. Tim HartTsogo Sun HotelCape Town15 November 2013
Innovation in Rural AreasInnovation in Rural Areas
• Holistic & multi-dimensional snapshot of innovation activities in 4 Rural District Municipalities
• Purposeful survey & snowball sampling used for broad-based evidence mapping- 482 enterprise
• Enterprise survey- intermediate step between:• exploratory scoping visits to each local municipality • self-reflection workshop with stakeholders in RDM
Knowledge sharing & networking…Knowledge sharing & networking…
• “Is your organisation /enterprise part of any type of innovation system whereby you share resources including equipment, knowledge, skills, ideas with other enterprises/organisations engaged in similar activities?”
Question width, depth, purpose and stability of enterprise interactions…Question width, depth, purpose and stability of enterprise interactions…
• 75% of interviewed rural enterprises self-reported that they share knowledge for ‘innovation
• Unanswered critical questions:• What are the strengths and weakness of how local
innovation actors interact? • Are these networks affected by enterprise
characteristics and the core purpose of innovation? • How are these local innovation-sharing networks
influenced by government support for innovation, local, sectoral and national innovation systems?
Rural
District
Municip.
Prov. Population (DM) Rural Population Pov.Rates
(Mon-metric)
Number Prov.
Share
(%)
Number Share
(%)
Prov
(%)
RDM
(%)
Umzinyathi KZN 510 335 5% 425 619 83.4 % 45.3% 60%
Dr Ruth S
Mompati
NW 460 482 13% 301 615 65.5% 43% 53.7%
Chris Hani EC 800 883 12% 528 580 66% 44% 46.5%
Mopani LP 1 120 287 20% 969 048 86.5 % 43% 44.3%
District Municipalities- Rurality & Poverty
District Municipalities- Rurality & Poverty
A birds-eye view of RIAT conceptsA birds-eye view of RIAT concepts
I
A
A D P P
O M
Big Picture: Connecting Innovation Value Chain (IVC)/ Activities & TypesBig Picture: Connecting Innovation
Value Chain (IVC)/ Activities & Types
INNOVATION ACTIVITIES Invent/Create Adapt/Improve Adopt/Use Diffuse/Share
INN
OVA
TION
TYPES
Product
Process
Marketing
Organisational
Enterprise types and knowledge sharing
Enterprise types and knowledge sharing
Table 1: Bivariate Non Parametric Test- Share knowledge for Innovation, N=482
Variable Name
No =0;No Sharing=0
Share Knowledge =1
Total Valid
Chi-2
Yes =1 N=123 N=359Observations
Public Enterprises0 92.68 75.21 384 17.269*1 7.32 24.79 98
Private Enterprises 0 30.08 67.69 280 53.219*1 69.92 32.31 202
Non-Profit Organisations
0 77.24 57.1 300 15.8*
1 22.76 42.9 182
Economic Profile of Enterprises Economic Profile of Enterprises
Variable Name No =0;No Sharing=0
Share Knowledge =1
Total Valid
Chi-2
Yes =1 N=123 N=359Observations
Primary Sector 0 82.11 65.18 335 12.392*
1 17.89 34.82 147
Tertiary Services0 46.34 46.8 225 0.008
1 53.66 53.2 257
Local Market Output Distribution
0 73.17 71.31 346 0.157
1 26.83 28.69 136
District Market Sales
0 50.41 68.25 307 12.606*
1 49.59 31.75 175
Internal Resources- Basic ICT AccessInternal Resources- Basic ICT Access
Variable Name No =0;No Sharing=0
Share Knowledge =1
Total Valid
Chi-2
Yes =1
N=123 N=359Observations
Cell Phone Access0 5.69 3.34 19 1.3341 94.31 96.66 463
Internet Access (Private)0 43.9 40.11 198 0.5441 56.1 59.89 284
Computer Access (Private)
0 36.59 36.21 175 0.006
1 63.41 63.79 307
Innovation Activities and Knowledge Sharing
Innovation Activities and Knowledge Sharing
Variable Name No =0;
No Sharing=0
Share Knowledge =1
Total Valid Chi-2
Yes =1 N=123 N=359Observations
Human/Social Wellbeing Purpose
0 76.67 50.42 270 25.173*1 23.33 49.58 203
Adopt Innov. 20110 53.66 40.67 212 6.274**1 46.34 59.33 270
Adopt Innov. 20120 52.03 46.24 230 1.2321 47.97 53.76 252
Adapt Innov. 20110 78.86 77.99 377 0.04041 21.14 22.01 105
Adapt Innov. 20120 68.29 72.14 343 0.66241 31.71 27.86 139
Invent Innov. 20110 90.24 91.92 441 0.33151 9.76 8.08 41
Diffuse Innov. 20110 90.24 74.09 377 14.022*1 9.76 25.91 105
Diffuse Innov. 20120 83.74 73.26 366 5.507**1 16.26 26.74 116
Government Support & Networking Government Support & Networking
Variable Name No =0;
No Sharing=0
Share Knowledge =1
Total Valid
Chi-2
Yes =1
N=123 N=359Observations
Aware of Gov't Innovation Assist
0 54.47 33.7 188 16.606*
1 45.53 66.3 294
Applied for Government Innovation Support
0 78.05 59.33 309 13.948*
1 21.95 40.67 173
Formal Innovation Network
0 95.93 13.37 166 276.591*
1 4.07 86.63 316
Concluding insights and puzzlesConcluding insights and puzzles
• Innovation can raise living standards and enhance equitable rural social change- through improved & purposeful interactions among “innovators”
• Know-how sharing and networking across all enterprise types- 43% of NPOs active collaboration
• Knowledge sharing & networking strongly related to pursuing innovation for social and human wellbeing & two types of activities (adoption & diffusion)
Concluding insights and puzzlesConcluding insights and puzzles
• Economic sectors and market distribution matter for innovative collaborations- enterprises in primary sector & output distribution beyond local municipality
• Role of access to ICT for innovation networking generally high (60%-97%) but no stats-sig ‘group diffs’
• Government support for networking acknowledged but a very small share of enterprises are encouraged to take practical steps to access state support
• Innovation networking concentrated among self-reported participants of formal networks as against informal networks