Fabriano, 180608 KEF VII, PL VI, Policies for Regional Innovation 1 The Role of industrial clusters...

Fabriano, 180608Fabriano, 180608 KEF VII, PL VI, Policies for RegiKEF VII, PL VI, Policies for Regional Innovationonal Innovation

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The Role of industrial clusters The Role of industrial clusters in Local Economic andin Local Economic and+Social Development:+Social Development:the Italian Experiencethe Italian Experience

Some issues from the MarcheSome issues from the Marche

Fabrizio Costa, Director Industry, Handicraft and Fabrizio Costa, Director Industry, Handicraft and Energy, The Marche Regional AdministrationEnergy, The Marche Regional Administration


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Summary

The Marche Region development is often considered as a typical Italian “cluster driven” experience

The “cluster development path”: main elements and a focus on the Marche Region “model”

What kind of “knowledge” and “warning” may come from this experience?

May a cluster be exported to other areas?


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Framework of this presentation

1.A BRIEF PORTRAIT OF A SMALL BUT STRATEGIC REGION

2.THE MARCHE ECONOMY TODAY: STRUCTURE AND COMPARISON

3. FIRMS AND CLUSTERS IN THE MARCHE REGION’S DEVELOPMENT

4. AN OPEN ECONOMY: EXPORT AND FOREIGN INVESTMENTS AS A RESULT OF CLUSTERS

5. “PORTABILITY” OF THE CLUSTER DEVELOPMENT PATH

6. AN EXAMPLE OF COOPERATION: Projects in Projects in course in Brazilcourse in Brazil


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1. A BRIEF PORTRAIT OF A SMALL BUTSTRATEGIC REGION

• In Central Italy

• On the Adriatic Sea

• A gate to South and

Eastern Europe

• An ancient link to

Mediterranean Sea


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1.1 The Marche Region: a few data

Area: 9,700 km2 Population: 1.48 million Capital town: Ancona (~100,000 inhabitants) 4 Provinces

(Pesaro e Urbino, Ancona, Macerata,

Ascoli Piceno) 246 Municipalities


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1.2 The Marche Region: the present situation

Regional GDP: US$ 40 billion

GDP per person : US$ 27,200

Life expectancy at birth: 81 years

(male: 78 – female: 84, the higher in Italy)


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2. THE MARCHE REGIONAL ECONOMY TODAY

Low agricultureemployment rateand GDP share

Competitivemanufacturingindustries’ sector(the regional rate ishigher than thenational one)

Extensive servicesand trade share


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2.2 A Region focused on Europe

133

78,5

99,8

49,9

110,5

0 50 100 150

PopulationDensity

Birth rate(EU15-1999)

Rate ofemployment

Unemploymentrate

GDP per head

Source: European Commission (2004), Third Report on Economic and Social Cohesion

EU 25


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2.3 Welfare and economic performanceThe Welfare index rank performs better than the economic index rank!

Italian Regions ranking by both Welfare Index and NDP pro-head

Calabria

Basilicata

Campania

SiciliaPuglia

Molise

Sardegna

AbruzzoUmbria

ToscanaPiemonte

Veneto

Lazio

Liguria

Friuli V.G.Trentino A.A.Emilia Romagna

Valle d'Aosta

Lombardia

Marche

0

2

4

6

8

10

12

14

16

18

20

0 2 4 6 8 10 12 14 16 18 20

Rank by NDP pro head

Ra

nk

by W

elf

are

in

de

x

Source: Cavalieri A. (1999), Toscana e Toscane


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3. FIRMS AND CLUSTERS IN THE MARCHEREGION’S DEVELOPMENT MODEL

. As shown in the previous slides, TODAY the Marche may be considered as a developed and rather well balanced Italian area, with a good population welfare.

But UP TO WW2, the situation was very, very different:

The Region was one among the least developed areas in Italy

Underfeeding caused infant mortality Thousand of young people emigrated to Latin

America’s pampas and North Europe’ mines.


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3.1 Which reason for such a change?

Basically, two main reasons have been singled outto explain this development path:

1. an original blending of creativity and entrepreneurial skill,often provided by the “share-cropper” (métayer ormezzadro) who firstly transformed himself into acraftsman and later into a small business-man, thanks tocommunity values focused on• aid exchange among families• emphasis on savings and on hard work

2. many diffused local systems of Small and MediumEnterprises (SMEs) : the “clusters” or “industrial/productive districts”


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3.2 The first character: a very “entrepreneurial” region

Number of Firms (December 2005) : 175,413 (+1.06% vs. 2004)

No. Enterprises each 1.000 inhabitants (31.12.2003)

Marche 90,39 North-Western Italy 82,20 North-Eastern Italy 87,97 Central Italy 93,84 Southern Italy 73,25 Italy 84,96 Source: Infocamere and ISTAT data


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3.3 COERENCE OF REGIONAL PLANNING TO SUPPORT SMEs:the Three Year “Productive Activities” Regional Plan


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3.4 the Three Year “Productive Activities” Regional Plan

the Three Year “Productive Activities” Regional Planthe Three Year “Productive Activities” Regional Plan The Plan, moving from an assessment of the local development perspectives (and The Plan, moving from an assessment of the local development perspectives (and

difficulties) and the consequent analysis of enterprises’ need, is centred on difficulties) and the consequent analysis of enterprises’ need, is centred on identifying:identifying:

Same strategic objectives of the regional policy, to be addresses by all specific Same strategic objectives of the regional policy, to be addresses by all specific measures: measures:

Productive system competitivenessProductive system competitiveness Sustainable developmentSustainable development Local GNP increaseLocal GNP increase Stable and better quality of job Stable and better quality of job

As well as same specific objectives which represent the relevant factors for local As well as same specific objectives which represent the relevant factors for local competitiveness competitiveness

Productive developmentProductive development R&D, quality and innovationR&D, quality and innovation Environmental innovation, energy saving, energy efficiency and renewable energyEnvironmental innovation, energy saving, energy efficiency and renewable energy Promotion of local production, internationalization and external investment attractionPromotion of local production, internationalization and external investment attraction SME Financial equilibrium and innovative financeSME Financial equilibrium and innovative finance Better relation with PA, simplification, liberalization and “one store shop”Better relation with PA, simplification, liberalization and “one store shop”

An finally, operational objectives, both to better assess the SME support instruments An finally, operational objectives, both to better assess the SME support instruments efficiency and to facilitate the establishment of “relations” among companies (in efficiency and to facilitate the establishment of “relations” among companies (in particular policy related to productive clusters, networks and chain in connection with particular policy related to productive clusters, networks and chain in connection with the new strategy adopted by the central government)the new strategy adopted by the central government)


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3.3 The “share-crop” or mezzadria:why is it so important in regional history?

The “share-crop” (métayage or mezzadria) is a job contractbetween the land owner and the head of a family (often a largefamily) providing the labour. All the products coming from thelabour had to be shared on a fifty-fifty basis between the two“partners”

The farmer house was on the land property (not in the village)and it was provided with a stable, a small machinery and ajoinery shop

As a result, in order to increase his own “half gain” fromagriculture and other rural activities, the farmer wasstimulated to improve the yield


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3.4 The second character: the “cluster” of SMEs

The “cluster” (or industrial district) is an area where the“scale economies” (typical of bigger industries) are efficientlyreplaced by “external economies”

Costs are cut down, thanks to a peculiar social andeconomical situation (such as workers availability, contextknowledge, a diffuse entrepreneurship, frequent spin off,enhanced competition but also co-operation among firms,wide process innovation, wide imitation and emulationeffects)

This way of production allows to make up for verticalintegration of bigger industries keeping safe the quality of life


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3.5 The “cluster” impact

A cluster involves a distribution of production phases amongmany firms, highly specialized in every step

The firm specialization is usually linked to either atechnological or an operating area

Many industries are traditional and not hi-tech: this situationinvolves low entrance barriers, due to low plant costs

The innovation jump is often allowed by a plant renewal

The firm dimension remains small, but the high specializationallows good earnings


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3.5 The “cluster” impact

The rationale behind the rapid growth of the districts is that of The rationale behind the rapid growth of the districts is that of bottom-up development logic, which constitutes the strategic bottom-up development logic, which constitutes the strategic component of this quality improvement: local environment component of this quality improvement: local environment greatly facilitated the possibility of establishing new greatly facilitated the possibility of establishing new enterprises, business ideas which have over the years enterprises, business ideas which have over the years contributed to the success of the Region, generating a virtual contributed to the success of the Region, generating a virtual multiplier effect, which in turn has broadened the district multiplier effect, which in turn has broadened the district development system.development system.

Moreover, companies in the districts may remain small as the Moreover, companies in the districts may remain small as the environment provides the various resources, competences and environment provides the various resources, competences and services needed. While entrepreneurs only had to concentrate services needed. While entrepreneurs only had to concentrate on their “core business”, being small (but often thinking great) on their “core business”, being small (but often thinking great) for many years necessitated only a limited working capital for many years necessitated only a limited working capital while the income produced generated extra welfare. In the end, while the income produced generated extra welfare. In the end, the many criticisms raised on the small business attitude of the many criticisms raised on the small business attitude of Italian enterprises underestimated this important feature: the Italian enterprises underestimated this important feature: the industrial district is basically a nursery which not only feeds industrial district is basically a nursery which not only feeds the companies in respect of their business needs but also the companies in respect of their business needs but also constitutes a laboratory (the right or “enabling” constitutes a laboratory (the right or “enabling” environment….) for testing new schemes of social cohesion as environment….) for testing new schemes of social cohesion as well as innovative ideas in terms of labour organization well as innovative ideas in terms of labour organization especially with reference to succeeding generations.especially with reference to succeeding generations.


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3.7 Cluster and development routes:a “valley” model ?

• URBINO

• S.BENEDETTODEL TRONTO

• CIVITANOVAMARCHE• FABRIANO

Wood - Furniture

Mechanics

Footwear - Clothing

TheComb


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3.8 Main clusters in the Marche Region

Local Economic SystemsLocal Economic Systems

Mechanics Mechanics

Footwear and leatherFootwear and leather

Wood-furnitureWood-furniture

Textile-clothingTextile-clothing

Food-processingFood-processing

Others (electronics, plastics, etc.)Others (electronics, plastics, etc.)


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4. AN OPEN ECONOMY: EXPORT AND FOREIGN

INVESTMENTS AS A RESULT OF CLUSTERS

An open economy is a policy target for a Regionfocused on high production clusters

The Marche economy is today very open, thanks to her manufacturing industries mostly involved in the “made in Italy” production

An open economy may be a great opportunity, but itmay also be a risk, if there isn’t a “control” on theforeign capital used in the national territory


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4.1 Foreign Direct Investment in regional development path

In 60’s and 70’s, many firms came and settled in the MarcheRegion from other Italian regions or foreign countries, because of low labor costs

The know-how acquired over time, the capability to set out smallbut incremental innovation, the relationship among localbusinesses (clusters) made a real new “model”, often named with the region’s name: “the Marche Region model”

In 90’s many regional firms began participating in foreignbusinesses, most of all in their own manufacturing sectors, suchas metal-mechanics industry, agricultural and industrialmachinery, clothing and footwear, electrical material and supplies


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5. “PORTABILITY” OF THE CLUSTERDEVELOPMENT PATH

The Marche Region development path, in the last 60years, appears to show some similarities with thepresent situation of many other geographical areas:

A post-war situation Rural territory Large labor forces percentage in the agricultural sector Manufacturing and “hand labor” capability

BUT What kind of “knowledge” and “warning” may come

from this regional experience? May a cluster be “exported” to other areas?


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5.1 Some policy remarks (1, specific and, may be, exclusive, features)

The cluster is mainly based on a cultural approach:

creativity and entrepreneurship are the ground skills for the spin-off

imitation and emulation effects push the newcomers

competition & cooperation allow distribution of production phases among many firms

traditional and not hi-tech industries involve low entrance barriers

high specialization in each production step needs a low plant cost


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5.2 Some policy remarks (2, a case of public-private partnership!)

The cluster is an endogenous and self-governing phenomenon:the public role is rarely a decisive start-up factor

Nevertheless, the policy maker may offer a strong support tostrengthen the external economies (the core of a cluster!)

External economies change continuously: establishment areas,basic services, workers availability and suitable education,material and immaterial infrastructures, quality and environment certificates…

As the cluster grows, the governance becomes more and morerelevant: in the Marche Region the “Technological Center System” as well as the “District Council” are composed by all local stakeholders (such as representatives of Public Boards and social and economic actors)


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5.3 May an Italian-type industrial cluster be “exported” to other areas?

Not likely! The cultural effects are strong: no public policy is able to change it in

a short period A cluster is a typical local and bottom-up phenomenon The production sharing in many specialized steps depends on local

needs

Probably some policies! While we believe it is unlikely to “export” a cluster based on Marche

Region experience we had several positive experiences in helping partner regions to build up industrial policy program, focused on qualified clusters of Micro, Small and Medium enterprises (SMEs) and based on the transfer of knowledge and associated policies, related to technological services

The basic presumption is that, if the economic environment presents clusters of SMEs, organized to produce goods or services to be marketed outside the “district”, it is feasible to generate or accelerate the creation of externalities essential to the productivity or the value aggregation process – method on which Marche has an extensive experiencel.


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5.3 A case of industrial cluster policy to be “exported” to other areas

A system to support cluster SMEs the Technological Centres of The Marche region are tools of industrial policy,

intended to support processes of innovation, diversification and internationalization of regional productions with local character.

During the years the Centres has been developed to assume, with the

contribution of laboratories they are equipped with, a fundamental role in matter of research, innovation and certification of quality, representing today those strategical factors which keep the “Made in Italy” competitiveness level high on Marches’ products global market.

These thoughts and strategical repositioning of the Centres really happened in

the lights of the changes in backdrop came up during the last few years (globalization and growing integration of technological innovation processes; development of the immaterial economy and of the ICT services etc.).


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A case of industrial cluster A case of industrial cluster policy to be “exported” to policy to be “exported” to

other areasother areas

•The strategic repositioning of the Centres really took place in light of backdrop changes in the last few years (globalization and growing integration of technological innovation processes; the development of the immaterial economy and of ICT services etc.).


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An open economy: export and An open economy: export and foreign investments as a result of foreign investments as a result of

clustersclusters•An open economy is a policy target for a Regionfocused on high production clusters

•The Marche economy is today very open, thanks to its manufacturing industries mostly involved in “Made in Italy” production

•An open economy may offer great opportunity, but it may also hold a risk, if there isn’t “control” on the foreign capital used in the national territory


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From “General Services”From “General Services”to “Technology Transfer”to “Technology Transfer”

Market Market transformation resulting from transformation resulting from globalizationglobalization..

Move Move from local development of a defined from local development of a defined territorial area to territorial area to trans-local developmenttrans-local development in in order to consolidate or create new conditions of order to consolidate or create new conditions of competitivenesscompetitiveness . .

Move Move from an inward looking production and added from an inward looking production and added value chain network to an outward value chain network to an outward looking looking networknetwork..

The The Region of Marche and the “Region of Marche and the “Technological Technological Centre SystemCentre System””..


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The RationalThe Rational

The “Technological Centre System” intervenes toThe “Technological Centre System” intervenes to::

analyse analyse needsneeds propose solutionspropose solutions

in in complex socio-economic situationscomplex socio-economic situations, which, whichpresent difficulties in the development of localpresent difficulties in the development of localindustries with otherwise industries with otherwise strong potential forstrong potential forgrowthgrowth at a national and international level linked at a national and international level linkedto the to the locally available resourceslocally available resources..


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An External EconomyAn External Economy

The role of the “Technological Centre System” inThe role of the “Technological Centre System” inthe development of local industrythe development of local industry::

to to be an be an operative local point of referenceoperative local point of reference;; Facilitate Facilitate the process of the process of internationalisationinternationalisation of of

firms;firms; Offer Offer firms firms experience and advanced experience and advanced

competencecompetence..


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The MethodologyThe MethodologyThe “Technological Centre System” is activelyThe “Technological Centre System” is activelyinvolved ininvolved in:: coordinated coordinated processes for broaching processes for broaching

entrepreneurial and managerial entrepreneurial and managerial developmentdevelopment in firms. in firms.

developmentdevelopment of of new products/processesnew products/processes through investment in technology, quality, through investment in technology, quality, organisation/management, design, and human organisation/management, design, and human resources.resources.

development development and organisation of and organisation of permanent permanent specialized structuresspecialized structures aimed at offering firms aimed at offering firms continuity, stability and adaptability for initiatives continuity, stability and adaptability for initiatives of economic and local industrial developmentof economic and local industrial development


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Example of Cooperation: Example of Cooperation: Projects in course in BrazilProjects in course in Brazil

Quality, technological innovation, Quality, technological innovation, specialized training, design for the specialized training, design for the Amazonian wood-furniture industry Amazonian wood-furniture industry

Research, technological innovation, Research, technological innovation, quality and specialized training for the quality and specialized training for the mechanic industry in the state of Sao mechanic industry in the state of Sao PaoloPaolo


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Projects in course in BrazilProjects in course in BrazilThese projects were founded in an environment ofThese projects were founded in an environment ofinitiative and collaboration between the Brazilianinitiative and collaboration between the Braziliangovernment and the four regions of Central Italy:government and the four regions of Central Italy:Emilia Romagna, Marche, Tuscany, and Umbria.Emilia Romagna, Marche, Tuscany, and Umbria.The initiative provides for social and economicThe initiative provides for social and economiccooperation aimed at transferring new models ofcooperation aimed at transferring new models oflocal development.local development.The Marche Region has launched under different The Marche Region has launched under different

national laws of cooperation (L. 212/92, L. 84/01, national laws of cooperation (L. 212/92, L. 84/01, UE interregional Programme such as Interregg, UE interregional Programme such as Interregg, TACIS IBPP etc.) several projects of cooperation and TACIS IBPP etc.) several projects of cooperation and technical assistance with emerging and former technical assistance with emerging and former command economies in Europe, North Africa and command economies in Europe, North Africa and South America based on the transfer of some of the South America based on the transfer of some of the “tools” of industrial policy relative to the regional “tools” of industrial policy relative to the regional productive clusters (industrial district) experience. productive clusters (industrial district) experience.


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A complex socio-economic situation with A complex socio-economic situation with relativerelativedifficulty for the development of local difficulty for the development of local

industry industry duedueto various factorsto various factors:: culturalcultural technological technological infrastructureinfrastructure financing financing logisticlogisticwith otherwise strong potential for growth at awith otherwise strong potential for growth at anational and international level linked to thenational and international level linked to theavailability of an immense natural resourceavailability of an immense natural resource. .

Context of the projectContext of the project


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Increase the added value chainIncrease the added value chain for local SMEs for local SMEs

production within an environmentally production within an environmentally sustainablesustainable

situationsituation, extending it to include the, extending it to include the

transformation phase, transformation phase, both ofboth of semi-manufacturedsemi-manufactured

products destined for a world scale market products destined for a world scale market as wellas well

as final productas final product, destined primarily for the Brazilian, destined primarily for the Brazilian

market and more generally the Central and Southmarket and more generally the Central and South

American market.American market.

StrategyStrategy


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Promote Promote and sustainand sustain development development (technological, productive, commercial, (technological, productive, commercial, organisational-managerial) of organisational-managerial) of the wood-the wood-furniture firmsfurniture firms in the Amazonian region, in the Amazonian region, considering however the differentiation and considering however the differentiation and specific conditions of departure relative to the specific conditions of departure relative to the area of Manausarea of Manaus in respect to that of in respect to that of BelémBelém..

Guiding policiesGuiding policies


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Undertake Undertake interventions of a structural interventions of a structural naturenature to activate and reinforce the to activate and reinforce the endogenous factors of development endogenous factors of development to to ensure continuity of the processesensure continuity of the processes of of economic, cultural and social growth apart economic, cultural and social growth apart from completion of the intervention;from completion of the intervention;

Involve Involve all significant elements of the all significant elements of the socio-economic and institutional socio-economic and institutional systemssystems on the basis of sharing objectives on the basis of sharing objectives and strategies for the attainment thereof and strategies for the attainment thereof within a vision of the medium long-term within a vision of the medium long-term evolution of the territory itself.evolution of the territory itself.



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Coordinated Coordinated processes for broaching processes for broaching entrepreneurial and managerial entrepreneurial and managerial development in the wood-furniture development in the wood-furniture sectorsector;;

Differentiate Differentiate the actions in the actions in ManausManaus (where (where fundamentally the objective is to fundamentally the objective is to create a create a local industry for semi-manufactured local industry for semi-manufactured goodsgoods) and ) and BelémBelém (where fundamentally the (where fundamentally the objective is to objective is to reinforce the local furniture reinforce the local furniture industryindustry), within a ), within a commodity chaincommodity chain starting starting with the Amazonian resource wood and with the Amazonian resource wood and including machinery producers and working including machinery producers and working systems in the area of Sao Paolo;systems in the area of Sao Paolo;

Line of ActionLine of Action


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Construct Construct permanent structures for permanent structures for specialised servicesspecialised services (Technological Centres (Technological Centres for Quality and Innovation), differentiated for for Quality and Innovation), differentiated for the areas of Manaus and Belém, to provide the areas of Manaus and Belém, to provide continuity, stability and adaptability for continuity, stability and adaptability for initiatives and to support initiatives and to support economic economic development and local industrydevelopment and local industry..



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Composed of a set of Composed of a set of project lines, eachproject lines, each

interrelated and synergeticinterrelated and synergetic in a system in a system logic;logic;

these lines are:these lines are: TechnologyTechnology QualityQuality Organization/company managementOrganization/company management Human ResourcesHuman Resources DesignDesign EntrepreneurshipEntrepreneurship

Project proposalsProject proposals


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Alongside a project line dedicated to:Alongside a project line dedicated to: Social situation/SustainabilitySocial situation/Sustainability..

Each project line is in turn divided into a series ofEach project line is in turn divided into a series of

actions that, distributed in various ways, over timeactions that, distributed in various ways, over time

culminate in the culminate in the realisation of permanentrealisation of permanent

structuresstructures (Technological Centres for Quality and (Technological Centres for Quality and

Innovation) dedicated to giving continuity to theInnovation) dedicated to giving continuity to the

actions for sustaining development of the woodactions for sustaining development of the wood

furniture production systems in the Amazon.furniture production systems in the Amazon.



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Local Entrepreneurial System with particular Local Entrepreneurial System with particular reference to small businesses in the Amazon reference to small businesses in the Amazon wood-furniture commodity chainwood-furniture commodity chain

Local Public AdministrationLocal Public Administration Education System at high school and Education System at high school and

university leveluniversity level Small businesses in the Italian wood-furniture Small businesses in the Italian wood-furniture

commodity chaincommodity chainThe duration of the project is The duration of the project is 48 months48 months. .

Direct and Indirect Direct and Indirect Beneficiaries Beneficiaries Time PlanningTime Planning


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Research, technological Research, technological innovation, quality and innovation, quality and

specialized training for the specialized training for the mechanic industry in the mechanic industry in the

state of Sao Paolostate of Sao Paolo


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An interesting process guided by a few leadingAn interesting process guided by a few leading

companies (international brands) in thecompanies (international brands) in the

automotiveautomotive and and electrical domesticelectrical domestic appliance appliance

sectors, who serve as the motor in the localsectors, who serve as the motor in the local

production system inducing technologicallyproduction system inducing technologically

complex production processes.complex production processes.

The demand for The demand for partsparts and and componentscomponents, often not, often not

met by the businesses in the local territorialmet by the businesses in the local territorial

system, is addressed elsewhere (foreign suppliers).system, is addressed elsewhere (foreign suppliers).



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The need to project local mechanic businessesThe need to project local mechanic businesses

into into long relational networkslong relational networks (trans-local (trans-local

cooperation) in order to extend the productioncooperation) in order to extend the production

and added value chains so as to face the newand added value chains so as to face the new

conditions imposed by the international market.conditions imposed by the international market.



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Increase the local added value production chain,Increase the local added value production chain,in part through the in part through the creation of stable creation of stable

relationshipsrelationshipsof collaboration with Italian companiesof collaboration with Italian companies, within a, within asituation of environmental sustainability in order tosituation of environmental sustainability in order toincrease the critical volumes in terms of increase the critical volumes in terms of

turnoverturnover,,production specialization and organisational andproduction specialization and organisational andmanagerial attention, capable of projecting themanagerial attention, capable of projecting thefirms into the most ample and ambitious marketsfirms into the most ample and ambitious marketsdirectly or indirectly (the large productiondirectly or indirectly (the large productioncompanies for goods destined to the market)companies for goods destined to the market)present in Sao Paolo or other states in Latinpresent in Sao Paolo or other states in LatinAmerica. America.

StrategyStrategy


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Promote and sustain development Promote and sustain development (technological, productive, commercial, (technological, productive, commercial, organisational-managerial) of business in the organisational-managerial) of business in the (extended) mechanic sector in the State of (extended) mechanic sector in the State of Sao Paolo.Sao Paolo.

Undertake Undertake structural interventionsstructural interventions to to activate and reinforce the endogenous factors activate and reinforce the endogenous factors of development so as to ensure continuity of of development so as to ensure continuity of the processes of economic, cultural and social the processes of economic, cultural and social growth apart from completion of the growth apart from completion of the intervention.intervention.



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Involve all significant Involve all significant elements of the elements of the socio-economic and institutional socio-economic and institutional systemssystems on the basis of sharing objectives on the basis of sharing objectives and strategies for the attainment thereof and strategies for the attainment thereof within a vision of the within a vision of the medium long-term medium long-term evolutionevolution of the territory itself. of the territory itself.



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Coordinated processes for broaching Coordinated processes for broaching entrepreneurial and managerial development entrepreneurial and managerial development in the enlarged mechanic sector aimed at in the enlarged mechanic sector aimed at three principal categoriesthree principal categories (integrated (integrated businesses, specialized businesses, small and businesses, specialized businesses, small and medium businesses with a technological base), medium businesses with a technological base), acting primarily with specific initiatives.acting primarily with specific initiatives.

Construct permanent structures for specialised Construct permanent structures for specialised services (services (Technological Centres for Quality and Technological Centres for Quality and InnovationInnovation), capable of translating basic ), capable of translating basic research into applied research and research into applied research and pre-pre-competitive developmentcompetitive development, ,



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supplying rapid and efficient supplying rapid and efficient innovative innovative serviceservice on specific themes and technology in on specific themes and technology in order to guarantee effective initiative to support order to guarantee effective initiative to support economic development and local industry.economic development and local industry.

The Centre operates as a The Centre operates as a technological technological translatortranslator on a twofold level and between on a twofold level and between different actors: between thedifferent actors: between the large specialised large specialised companiescompanies with heavy technological needs and with heavy technological needs and the the embedded network of autogenous or embedded network of autogenous or localisedlocalised foreign small and medium sized foreign small and medium sized businesses; between the basic research businesses; between the basic research undertaken in universities and the technological undertaken in universities and the technological requirements expressed by the firms.requirements expressed by the firms.



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The areas for intervention:The areas for intervention: Technological innovation, Engineering and Technological innovation, Engineering and

DesignDesign Research and developmentResearch and development QualityQuality Organization/company managementOrganization/company management Human ResourcesHuman Resources InternationalisationInternationalisation Social Situation/environmental sustainabilitySocial Situation/environmental sustainability



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The centre is to serve as a The centre is to serve as a referentreferent for rapid and for rapid and

cost effective responses based on the followingcost effective responses based on the following

factors:factors: possibility of rapidly and efficiently possibility of rapidly and efficiently drawingdrawing on on

basic research sourcesbasic research sources possibility of possibility of utilising instrumentation and utilising instrumentation and

laboratory equipmentlaboratory equipment already present in the already present in the territory territory

possibility of possibility of acquiring instrumentationacquiring instrumentation that is that is either inadequate or not present in the territoryeither inadequate or not present in the territory



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presence of presence of highly capable technologicalhighly capable technological staff capable of elaborating technical staff capable of elaborating technical responses immediately utilisableresponses immediately utilisable

relational capacity with local/nationalrelational capacity with local/national institutions aimed at promoting specific institutions aimed at promoting specific programs of intervention for sustaining the programs of intervention for sustaining the diffusion of research and technological diffusion of research and technological innovation in the small and medium innovation in the small and medium businesses of the statebusinesses of the state



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Small, medium and large mechanic Small, medium and large mechanic businesses in the State of Sao Paolobusinesses in the State of Sao Paolo

Local Public AdministrationLocal Public Administration Local system of research, technological Local system of research, technological

development and specialized trainingdevelopment and specialized training Small and medium sized Italian businesses of Small and medium sized Italian businesses of

the sub-supply chain in mechanics; electrics the sub-supply chain in mechanics; electrics and electronics; instrumental machinery; and electronics; instrumental machinery; moulds and pressing; agricultural machinery; moulds and pressing; agricultural machinery; lighting technology; industrial fridges etc. lighting technology; industrial fridges etc.

The The durationduration of the project is of the project is 30 months30 months..

Direct and Indirect Direct and Indirect Beneficiaries Beneficiaries

Time PlanningTime Planning

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