- Creative industries' trends
- Projects in creative industries
- Good practice analysis
- On transfer of good practice
- Recommendations for CCI projects
1. Recent trends and challenges in creative industries policy-making
Policy-making in the creative industries is often expected to help achieve economic and non-economic goals, albeit with a substantial bias towards economic objectives. Support shown to CCIs has three main economic goals: to encourage innovative activities, to stimulate growth and create new jobs as well to generate increased international visibility of national products and services. The non-economic goal — to secure cultural diversity — is also very important for a majority of CCI policymakers. (23)
Creative industries policy-making is of special relevance for policymakers in urban or more densely populated areas and are therefore of interest to both urban and regional policymakers.
The INTERREG IVC programme addresses local and regional authorities and facilitates the exchange of experience through interregional learning networks.
However, several questions need to be addressed:
What is the respective added value of the INTERREG IVC programme compared to other EU initiatives and programmes?
What are the most pressing challenges and trends in (regional) policy-making for and involving the creative industries?
- What are the preconditions for successful CCI policy?
Creative industries policies need to first establish a favourable environment. This includes mapping and studies, awareness raising, strategic alliances and institutional frameworks incorporating sound stakeholder processes and the development of specific policy measures adapted to the needs of the regional or urban CCI situation and institutional context (24).
CCI policymakers recognise the growing need for evidenced-based policy. Initiatives in connection with the project ESSnet culture and the European Design Innovation Initiative have recently been implemented. These approaches will also be of relevance to EU regional policy 2014-2020, especially with regard to smart specialisation.
- New trends for the creation of growth and jobs in the creative sectors (strengthening CCIs)
Most policies designed to stimulate the creative industries aim at creating economic growth and new jobs or generating interest for creative products on the international stage. As new and innovative products have to be presented to a wider audience and to potential consumers, the related policy instruments employed include networking events, grants, management training, cluster support, marketing and PR support as well as access to external capital (27).
In addition, only recently, several voucher scheme initiatives have also been launched, for example by the European Creative Industries Alliance.
In the context of the financial and budgetary crisis, self-organised initiatives (like creative hubs) have attracted further interest from policymakers. The additional involvement of citizens (like in living labs) fits well with place-based creative developments and with new innovative approaches for smart territorial specialisation. Small-scale seed capital has the potential to efficiently support micro-enterprises in CCIs and to provide new forms of access to finance (e. g. crowd funding for small projects).
Furthermore, the internationalisation and export of creative services and products is an evolving policy issue which is also promoted in a top-down manner from decision-makers to public. The latter possesses the potential to overcome some of the constraints of EU markets and to benefit from the growing purchase potential of the emerging economies in the world (demand-side-related CCI policy).
But what are the framework conditions for self-organised creative industries and which platforms and spaces are needed in order to allow successful CCI companies to flourish?
It is necessary to find adequate tools to motivate creative entrepreneurs, to allow them to grow and to create new jobs. When doing so, policy approaches have to reconsider the role of the European markets and have to develop specific policy instruments that can promote the export of European creative goods and services.
- How to create more spill-over effects with input from the creative industries?
It would appear that businesses that make proportionately greater use of services from the CCIs perform significantly better at innovation. Although the specific mechanisms by which this occurs are not yet well documented, it seems that creative innovation services provided by CCIs represent inputs to innovative activities by other enterprises and organisations in the wider economy, thereby helping to address behavioural failures, such as risk aversion, status quo bias and losing touch with emerging products, production tools and relevant knowledge, which can guarantee market success. Design is a good example of a creative process that can potentially lead to user-centred innovation.(29) Another approach relates to creative partnerships and to the wider integration of artists in companies’ policies (30).
After a period of ‘legitimising’ cultural and creative industries, starting in the year 2000, it became more and more apparent that these sectors influence other industry sectors, as well as societal fields and are an important stimulus for regional development. Such stimuli, referred to as spill-over effects are becoming increasingly important for urban development, social participation, and innovative economic development.
Some of the new tools and instruments designed to establish conditions and prerequisites facilitating (or preventing) spill-over effects are discussed in the following section. We will also address the questions of which policy-making instruments might best support these desired effects as well as what specific output can be expected from cross-sectoral (cluster) cooperation and the participation of citizens. In the core of the analysis, we will approach the way CCI policies have to be tailored to take account of new cultural public services, artistic interventions and other approaches that might increase spill-over effects.
- How to better use open innovation within and beyond creative industries?
Many local and regional CCI policies already include and address innovative projects from creative entrepreneurs and SMEs. The recent trend is, however, to focus on the open innovation approach.
The term open innovation can be understood as a systematic approach to convert innovation systems, processes and related thinking into a new structure. It focuses on accessing external product, person, and technological resources like ideas or information of other companies, societal fields, and institutions to support a companies’ innovation activity. The central idea of open innovation goes along with the expectation to utilise formerly unused or ‘leftover’ ideas and knowledge capacities in order to turn them into new products or services with the aid of external expertise or companies.
Regarding open innovation, we were interested to find out:* if open innovation processes are relevant to CCI policy-making activities.
* how open innovation processes can integrate external knowledge into the development of cultural and creative industries and/or to create spill-overs for other economic sectors
* what role CCI policymakers play in encouraging open innovation
* if open innovation possesses the potential to further the use of innovation in regional policy-making
The sample of INTERREG IVC good practice examples on creative industries (especially the set of 60 key CCI practices) provides a valuable framework in which to identify the most relevant innovative elements of creative industries policy-making at the urban and regional level and to highlight innovative good practice identified by the INTERREG IVC CCI community.
As part of the INTERREG IVC capitalisation process on creative industries, we have developed a matrix to summarise some of the most innovative CCI policy components: The following table summarises the different stages of CCI policy-making and its specific trends and challenges, followed by specific outcomes. The right column addresses the overall attempts to contribute to new transversal and trans-disciplinary open innovation formats and its outcomes.
|Stages of CCI policy||Trends and challenges||Overall trends|
|Creating Preconditions||Evidence-based policy|
Market-driven strategic focus:Local, inter-regional and international CCI transfer platforms
Innovative virtual and physical hubs (new services for CCI)
Self-organised hubs (e. g. co-working spaces, incubators, without public funding)
Hubs related to urban/rural/regional policy questions
Hubs developing programmes for citizens
Culture and identity policies:
Involvement of culture related stakeholders/artists
Spill-overs:Participation of stakeholders
Cooperation with clusters / networks outside CCI
Participation of citizens
Addressing public sector (service) innovation
|Transfer & mainstreaming of CCI practices||Preconditions and framework for a successful transfer and mainstreaming of CCI good practices|
Source: own table
2. Profile and policy challenges addressed by the INTERREG IVC creative industries projects
This analysis deals with 14 INTERREG IVC creative industries projects involving a total of 166 partners from 25 EU countries and Norway. One third of the lead partners are based in the United Kingdom. Eight projects were submitted for the first and second call and are already closed. Six projects are still ongoing and will conclude at the end of 2014.
The following table provides an overview of the interregional creative industries projects:
- Overview of projects
Title Project Content and Objectives Creative Growth
The overall aim of the project was to increase European competitiveness and accelerate regional economic growth through the development of the creative sector as a new business sector and a key driver of the emerging knowledge economy. Furthermore, the project aimed to influence policy development on regional and local level by mainstreaming new knowledge and best practice into the policy-making process. Four thematic working groups discussed the themes: Incubators, Access to Finance, Business Networks and Science and Industry identifying challenges, possibilities and best practise examples.
Lead partner from: Sweden
CITIES (Creative Industries in Traditional Intercultural Spaces) aimed at promoting the growth of entrepreneurship in the creative and cultural sectors through its network of participating cities. The project partnership was particularly interested in how to revitalise abandoned, retrogressive areas, as well as ones previously used for traditional and heavy industry. The types of interventions considered as good practices were summarised in 4 main areas: 1. Developing clusters of activity (in terms of exchange, trust, skills and infrastructure), 2. Fostering business opportunities, 3. Developing cultural identity, 4. Creating cultural assets.
Lead partner from: Lithuania
Design is seen around the world, particularly in emerging industrial nations outside of Europe, as an essential step in the process of transforming innovative ideas into products and services fit for purpose. There are currently shortcomings in this area in most EU countries, particularly within SMEs. The SEE project was a partnership of 11 organisations looking to determine how these shortcomings could be best improved by sharing experience, developing new thinking and influencing regional policy. The group shared information on policies that were successful in using design to boost innovation, entrepreneurship, sustainability or economic development.
Lead partner from: United Kingdom
The ceramic and small crafts sector is labour intensive and it is mainly composed of very small enterprises. Professional associations in Europe or bodies such as the World Crafts Council Europe provided support aimed at trying to strengthen the status of crafts as a vital part of cultural and economic life. Preservation and enhancing the appreciation of these traditions in the 21st century represent a serious challenge. This challenge cannot be overcome locally, but through Europe-wide cooperation. Besides the direct economic effects and the loss of European cultural traditions, the negative side effects on tourism are of great concern as well.
Lead partner from: Hungary
Creative industries, which have a potential for wealth and job creation through the generation and exploitation of intellectual property, form an integral part of the knowledge economy. By exchanging experience and good practice, this project aimed to strengthen the capacity and effectiveness of public support to unlock and support the economic potential of the creative economy. In particular, 5 policy areas were addressed within the project: 1. Structure of public support for Creative Industries 2. Business capacity and internationalisation of CCIs 3. Space and creative city districts 4. Funding for creative businesses 5. Demand for CCI products and services
Lead partner from: Latvia
The CREA.RE project sought to better involve the creative sectors in the development of the European regions and cities. The exchange of experience between the partners and the learning from their good practice for the benefit of the whole partnership lies at the core philosophy of the INTERREG IVC programme. The knowledge acquired by the partners was ‘translated’ into potential regional measures and activities with the help of a Local Working Group set up by each partner and consisting of various stakeholders. A particular attention was shown to the involvement of the regional managers of the Operational Programmes from an early stage.
Lead partner from: Austria
ORGANZA's objective was to systematically collect and exchange policy experience of local and regional authorities regarding creative industries. ORGANZA focused on medium-size regions and cities that lack critical mass and face a brain-drain of creative talent. A key element in the lack of critical mass is an incomplete production structure and environment. Often, either creative entrepreneurship or industrial entrepreneurship is predominant. The challenge was to revitalize entrepreneurship but also to foster industrial change.
Lead partner from: The Netherlands
TOOL QUIZ helped enhance European territorial Cohesion by enabling partners to work together on a shared regional policy issue linked to Culture, Development and Human Capacities. Based on the UNESCO and the Fribourg declaration's definition of ‘Culture’, TOOL QUIZ’s partners looked at potential new ways to address these issues in terms of public policies, territorial strategies, stakeholder practices or contemporary initiatives at regional level, taking account of the European situation, the current global context and the main changes taking place.
Lead partner from: France
The project idea was born out of the need of several European cities of art and UNESCO World Heritage to explore the values that make up the identity of a sustainable city and in particular, to strengthen entrepreneurship policies in the field of artistic and contemporary crafts (ACC). The promotion of successful entrepreneurship and sound business environment for SMEs has always been a major concern for the EU. SMEs are the main source of jobs in Europe and make a major contribution to the growth of the employment. In the ACC sector they have an important economic impact to local and regional economies of the partner territories.
Lead partner from: Italy
Once the economic force of Creative Industries was demonstrated by several studies, the development of strong digital and interactive media strategies has been high on the agenda throughout Europe.
The digital games market, especially, is a fast growing market within CCIs. Games could represent a new source of growth for the European economy but many regions are still lacking adequate policies and funding schemes which could sustain this market. Further funding and support mechanisms often do not meet the special needs of the small and innovative game developers. The aim of the BOO-Games project is to support the public regional development authorities in understanding the importance of the games industry for the European economy.
Lead partner from: United Kingdom
Textile and Clothing (TandC) is one of the major manufacturing industries of the EU-27 in terms of production volumes, added value and jobs. This sector has been heavily hit by the recent crisis and has steadily lost competitiveness in the last few years. According to the partners' policy priorities, the focus of the experience exchange will be on the following six policy areas:
1. support young entrepreneurship and innovative business models in the TandC sector,
2. diversify production towards high-quality, speciality and high-tech textiles and niche products,
3. increase levels of art, design, and creativity in market production,
4. support the clustering and internationalisation of TandC SMEs,
5. foster eco-innovation and social responsibility in the TandC industry,
6. foster TandC incubation and start-ups.
Lead partner from: Italy
Incubator units for creative industries business start-ups provide much needed space and act as vital support mechanisms and catalysts for the development of entrepreneurship and innovation in this sector right across the EU. While much research in previously funded projects has focused on the role and value of specific activities undertaken within creative incubator units, InCompass focuses exclusively on how they can become independently financially sustainable. Using a number of existing incubator units across the EU as the main study vehicle, the project is identifying a number of existing good practices that are already providing levels of financial security and aims to transfer them for collective adoption into, and improvement of, regional policy.
Lead partner from: United Kingdom
Cross-Innovation focuses on experience exchange between 11 leading European cities in relation to the promotion of collaborative and user-driven innovation that occurs across sectoral, organisational, technological and geographic boundaries (= cross-innovation). In this context, a specific focus is placed on policies and support measures that enable cross-innovation and creative spill-overs between creative sectors and other industries. The project focuses on practices in 4 sub-themes: Smart Incentives, Culture-based Innovation, Brokerage, and Spatial Cross-Collaboration.
Lead partner from: United Kingdom
Many European regions have long traditions and cultures of crafts. The crafts sector contributes to the uniqueness of the regions, regional appeal to its visitors, inhabitants and to the regional economy as a source of local employment, income, and social and economic stability. The crafts sector is important for the preservation of local culture and heritage. The crafts sector is a part of the ‘creative industries’ which promises high growth potential in the future. The specific objectives of the project are: (1) to develop efficient policies for regional support of crafts' development, (2) to disseminate the project results and raise awareness of crafts sector issues among target groups.
Lead partner from: Latvia
The INTERREG IVC projects on creative industries can be grouped as follows:
- Sector-specific approaches aimed at furthering the development of a specific creative branch (design, games, textile, crafts); and
- Transversal creative industries projects addressing different key issues (e.g. access to finance and to EU regional funds, promoting innovation and spill-overs).
- Thematic priorities of INTERREG IVC CCI projects
The thematic focus of the fourteen INTERREG IVC creative industries projects has considerably developed when comparing the projects from the first, second and fourth INTERREG IVC call, reflecting a tendency towards higher specification of policy challenges addressed in line with the major European creative industries trends and the substantial enlargement of the related available knowledge base. The following table positioned the projects according to their respective main fields of action.
The main focus of the majority of the fourteen INTERREG IVC CCI projects is on strengthening the creative industries – the core policy field. Creative Industries policy is expected to be dominated by attempts to strengthen the economic side of the CCI branches at local/regional as well as European policy-making levels in the next ten years. Cluster and growth as well as professionalisation strategies will be of central concern. The role of the European CCI policy is likely to mainly include the access to good practice examples as well as to financial support.
“The economic strengthening of the creative branches remains a key policy field in the long term.” (Quote by a participant during the Thematic Workshop on INTERREG IVC Capitalisation on CCI, Brussels, 14.11.2012)
Out of the six ongoing projects, five of them address policy strategies designed to strengthen different creative sectors and branches: INNOCRAFTS and REGIO-CRAFTS aim at promoting the (artistic and creative) crafts sector; PLUSTEX addresses the textile and clothing sector; BOO-Games looks to contribute to a better anchorage of the digital games market in regional policy-making; and InCompass addresses the financial sustainability of creative incubators. The projects INNOCRAFTS and PLUSTEX have explicitly identified export and internationalisation as relevant policy fields.
Cross-Innovation focuses on spill-overs generated by the creative sector for boosting economic and social innovation. Spill-over effects are considered by INTERREG IVC lead and project partners as the second most relevant CCI policy field at the local / regional level. However, this field is perceived as being less important at the EU level despite major related European initiatives (e. g. European Creative Industries Alliance). Knowledge transfer regarding successful open exchange could assist public administrative authorities in this respect. Participants of the thematic workshop on INTERREG IVC capitalisation on creative industries also identified a strong need to avoid ‘silo’-effects (33) and to involve users and citizens as much as possible. The public sector could try to be a reference model. This topic is linked to the common CCI policy trend for open innovation.
In light of tight public budgets, the new challenges for policy-making are of relevance for all regional and local CCI policymakers in Europe whether involved in INTERREG IVC CCI projects or not. This is explicitly addressed by the InCompass INTERREG IVC project. The approach to develop social-cultural hubs seems to be perceived as a rather short-term phenomenon by the INTERREG IVC CCI community. This approach is currently high on the agenda of local / regional CCI policymakers, but is assumed to decrease in relevance in the next ten years. Although the participants of the INTERREG IVC thematic capitalisation workshop on creative industries highlighted the importance of place-based policies, they also raised attention to the fact that different ‘cultural’ traditions might harm the creation of social-cultural hubs. At the European level, policymakers have requested support for the exchange of more good practices in this respect.
INTERREG IVC CCI lead and project partners considered that cultural policies (including activities designed to protect and develop local and regional identities were of higher relevance for the long term, especially as a field for European policy. The participants of the thematic CCI capitalisation workshop argued that cultural diversity is a strong asset for Europe. Local and regional CCI policy-making could include the integrative force of social hubs. Representatives and bottom-up initiatives from the field of public culture and stakeholders from social, cultural and ethnic identity groups raised several concerns, for example, over the predominance of economic questions in culture or the relationship between local identity policies and increasing international relations. The current focus of policy exchange and transfer within INTERREG IVC CCI projects reflects the low importance placed on identity policy. None of the running projects aim at addressing this issue specifically.
- Selected good INTERREG IVC initiatives designed to raise awareness
In the context of the INTERREG IVC CCI projects, some special initiatives and approaches have been successful and have gained recognition beyond INTERREG.
Good Practice SEE INTERREG IVC becomes SEE platform in the framework of the European Design Innovation Initiative Practice identified from INTERREG IVC project SEE Description Already in 2011, the INTERREG IVC project SEE – Sharing Experience Europe - Policy Innovation Design was selected as a finalist for the European Commission’s Regio Stars awards in the category ‘Networking and cluster initiatives supporting regional growth and SMEs’ access to global markets’. The Regio Stars jury highlighted the project as being ‘highly innovative in proposing a topic that had almost never been examined in a policy context.’ “This is an interesting policy building project in a forward-looking area – based on design as a source of innovation. Its broad partnership and EU endorsement gives credibility to the statement that it paves the way towards new innovation policies, suited to regions outside of the Sciences and Technology hubs”, the jury stated. In 2012, the SEE platform project was selected in the context of the first call of the European Design Innovation Initiative. Objectives Between 2012 and 2015, SEE is (and will be) operating as part of the European Commission’s European Design Innovation Initiative (EDII). EDII seeks to embed design for user-centred innovation in government policies and company strategies across the European Union. “The challenge we face is to convince a wider audience of the potential for design to foster innovation among SMEs and deliver innovative solutions for products, services, society and the public sector. Design is an approach to problem-solving that is creative, user-centred and viable.” Relevance for policymakers Through new research, workshops for policymakers and programme managers, case studies, policy recommendations and the annual Design Policy Monitor, SEE aims to build a bank of evidence to support public authorities to integrate design into their mainstream practice. Website www.seeplatform.eu/
Five creative industries projects in INTERREG IVC have joined forces and initiated a bottom-up initiative for the exchange of experiences as well as to formulate common policy recommendations, which were published in November 2012:
Good Practice INTERREG IVC JOINT POLICY RECOMMENDATIONS FOR CULTURAL AND CREATIVE INDUSTRIES IN EUROPE Practice identified from INTERREG IVC projects ‘SEE’, ‘CREATIVE METROPOLES’, ‘CREA.RE’, ‘ORGANZA’, ‘InCompass’ Description The common report draws together the experiences from five INTERREG IVC projects – CREA.RE, SEE, ORGANZA, CREATIVE METROPOLES and InCompass – that initiated the dialogue and collaboration on the topic of CCI.
The partners examined each component of the creative ecosystem (CCI investment, support, promotion, CCI stakeholders, the CCI professional sector itself, education, research, CCI policy governance and funding).
The barriers identified by the group are multi-dimensional and organised into four themes relating to the components of the creative ecosystems:
i) defining the CCI, capturing the impact and analysing the metrics;
ii) skills, education and research;
iii) awareness, support and promotion;
iv) local, regional, and national governance and funding.
Objectives Collaboration began during discussions on how to build synergies between the projects, and it was rapidly agreed that by developing a joint set of policy recommendations, greater impact at different policy levels across Europe could be achieved. In a workshop initiated and hosted by CREA.RE and moderated by SEE, the projects employed creative, inclusive and design techniques to share experiences of the barriers preventing a better use of the CCI in Europe and generated proposals for tackling them. Relevance for policymakers The report presents “an overview of the challenges facing the CCI sector in the participating regions and cities and a set of policy recommendations aimed at local, regional and national policymakers as well as the European Commission to build on the EU’s creative talents. These proposals are endorsed by the INTERREG IVC projects representing over 60 European players.”
The initiative represents a model for joint bottom-up activities of INTERREG IVC projects dedicated to the same thematic areas. It shows how synergies can be built up without the need of creating ‘heavy’ cooperation structures.
◊ What can we conclude from these special initiatives?- Broad and permanent multi-thematic networks of institutions focusing on specialised themes are able to provide adequate support for creative agents.
- Cross-thematic (economy, education and training) approaches strengthen the fundamental basis of CCI
- Collaborative networks have to be moderated professionally.
3. Analysis of the creative industries good practice examples
The main focus of our analysis addressed the following questions:
- Do these projects have similar good practices in common?
- If yes, what are these good practices?
- Are the various cases easily transferable to other regions?
- Should they be further disseminated for the benefit of other regions?
Looking more closely, we were interested in knowing if one region had a particularly interesting or innovative approach, which merited being disseminated further.
- The INTERREG IVC collection of CCI good practice examples
The ‘collection of good practices’ is a standard tool in INTERREG IVC projects that provides a basis for experience exchange with a view to the potential transfer of these practices between the cities and regions involved.
A total of 272 good practice examples – collected from the fourteen INTERREG IVC projects - were the focus for capitalisation.
During this first year of capitalisation on Creative Industries (2012-2013), more than 75% of the good practice examples have already been identified, providing us with a sufficiently representative sample of CCI practices for analysis.
The good practices were organised into different groups as part of a two-stage grouping process, first using the 272 good practices identified by the concluded projects, then with the inclusion of a certain number from the ongoing projects. The ‘thematic grouping’ of the good practices confirmed that there is a tendency towards policies aimed at strengthening CCIs and addressing the creation of spill-over effects. The share of practices designed to create preconditions decreased from 37.8% to 32.9%, once the good practice examples collected from new IVC projects had been integrated.
The number of transferred and / or mainstreamed practices increased to 32, which provides some basis for an analysis of the frameworks and conditions of CCI practices that have proven to be transferable and have benefited from EU Structural Funds.
Thematic analysis of innovative CCI good practice and policies
The major trends and challenges related to CCI policy-making have been analysed in Chapter 3.1 of this report and form the basis for the selection of six key areas used in the thematic analysis of the INTERREG IVC CCI good practices:
- Prerequisites for the implementation of creative industries policies
- Evidence-based policy
- Export capacity and internationalisation of creative industries
- Social-cultural hubs
- Spill-overs generated by the creative industries
- Open innovation in and using creative industries
Each chapter includes a thematic introduction to the policy field, a careful selection of the most inspiring practices which can be recommended to CCI policymakers in Europe as well as conclusions drawn. In order to be selected, the good practices presented in chapter 3 were benchmarked against the indicators for the most innovative CCI practices (table pages 17 and 18) developed in the context of INTERREG IVC capitalisation.
3.1 Prerequisites for the implementation of creative industries policies
The main focus of our analysis addressed the question of whether the participating regions can identify preconditions for the successful implementation of their regional policy in this field.
The frameworks involved in CCI policy-making are specific owing to:- the nature of fragmented responsibilities for creative industries,
- the larger number of creative sub-sectors and related economic fields included in creative industries, as well as
- the characteristics of the creative companies and entrepreneurs, which are predominately micro-structures.
In order to meet the pre-conditions, some groundwork is required to facilitate the implementation of creative industries policies and support well-founded measures. This also eases the later transfer and mainstreaming of CCI practices between INTERREG IVC partners and other local / regional authorities in Europe.
A sound basis for local and regional CCI policies includes:* the (quantitative and qualitative) mapping of the regional / local creative industries
* the establishment of a sound institutional framework on which the future CCI policy can be built
* the creation of strategic alliances and stakeholder processes and networking
* the raising of awareness among decision makers and other stakeholders on the added value the creative industries can provide for their region or city (including any related information and communication activities)
* the negotiation of targeted policy measures based on a needs analysis of the creative sectors and the geographic area concerned
Most of the INTERREG IVC projects in creative industries addressed some or many of these issues in the early stages of their implementation. During the analysis, it became evident that a lack of appropriate stakeholder involvement and political will can considerably hinder policy-making in creative industries or even prevent CCI good practice implementation and / or transfer from other European regions.
The local / regional stakeholder processes in INTERREG IVC creative industries projects are most successful when integrated into an operational group of key regional players and accompanied by a regional CCI policy-making process. At the same time, benefit can also be gained through sharing any additional information and experience available in their IVC partnership. The involvement of external experts for the moderation of these groups is of additional benefit, provided that this moderator is able to ‘translate’ expert and INTERREG IVC project language in a meaningful way for local CCI policymakers.
Good Practice CCI development in rural areas: The Stakeholder Process in Lüchow-Dannenberg (DE) Practice identified from INTERREG IVC project CREA.RE Description The district of Lüchow-Dannenberg in Lower Saxony (Germany) has 50 000 inhabitants and is a rural area with structural deficits – also related to the former internal German border which strongly influenced the development of opportunities over many years. Local policymakers have identified the CCIs as possessing a potential for the local development, which included the need to start a policy-making process. Objectives A creative industries policy aimed at involving local stakeholders needed to be designed. The first objective was to build up a local working group for developing the CCIs in Lüchow-Dannenberg. Relevance for policymakers The following lessons have been learnt with regard to implementing a successful stakeholder process:
- The stakeholder process needs a lot of communication efforts to ensure that a sufficient – but not too large a number - of relevant people participate.
- A working group of around 10-14 people should moderate the process.
- The engagement of people in working groups should allow them to gain social or economic benefits and perspectives (at least in the mid-term)
- Experts should be involved to develop reliable baseline data. The financial resources needed are very limited (meeting and event costs).
The practice is good because it succeeded, within a few months, in creating a solid cooperation base related to cultural and creative industries, which has been considered as an urban phenomenon for a long time.
We can summarise that the success of the CCI practices and policies analysed is clearly based on:* establishing a mutual stakeholder process among formal and informal stakeholders
* mapping the branches, its potentials, and its prerequisites
* initiating political awareness with a view to gaining the appropriate public and political attention in order to initiate further policies
3.2 Evidence-based policy
Generally speaking, the concept of ‘evidence-based policy’ has been gaining currency over the last decade. Strongly informed by the 1999 White Paper on Modernising Government in the UK, the notion of ‘evidence-based policy’ formulated the will to question inherited ways of doing things and implementing projects. This has led to making better use of ways of providing evidence and research methods in policy-making, thereby only focusing on policies that will deliver long-term goals. Evidence-based policy is a specific challenge for creative industries since their output and contribution is often intangible. This challenge needs to be addressed in order to better incorporate CCIs into the new EU regional policy (2014-2020) – especially with regard to smart specialisation.
“In the context of smart specialisation European regions and cities need further evidence regarding the concrete benefits of creative industries for their local innovation system.”
Despite fulfilling the preconditions, most creative industries policies lack ongoing evaluation and policy innovations. Measuring success remains a challenge owing to the difficulty of collecting meaningful data. First and foremost, as a result of the cooperation between Member States and Eurostat, a significant number of European countries and regions have already harmonised their sources of data pertaining to the cultural sector (e.g. Labour Force Survey, LFS).
Based on this approach and the status quo, first attempts have been made to improve these statistics and to create an enhanced evidence-based platform for a better and efficient policy framework. The ESSnet-CULTURE: European Statistical System Network on Culture report called for “the development of a clear, evidence-based foundation for the cultural industries” in 2012.
The central efforts made are directed at elaborating “internationally comparable evidence-based arguments that create a possibility to evaluate in what way the statistics support our common goals today and what are the most relevant guidelines for the nearest future.” (35).
Practical experience gained in INTERREG IVC creative industries projects reveals further issues which cannot easily be overcome, such as the lack of available meaningful and non-protected data at the local level. In addition, CCI practices are a recent phenomenon with most of them starting only a few years ago.
This makes it more difficult to evaluate the long-term impact of CCI policies and hinders evidence-based policy approaches.
The INTERREG IVC CREARE project has observed central obstacles to the implementation of appropriate policies for the growth of CCIs. According to their observation, “the difficulty for policymakers is to apprehend the value of support actions taken towards micro enterprises and SMEs in the creative sector” (36). The report from KEA, a Brussels-based consultancy specialised in culture, creativity, media and sports, proposes, that “the development of benchmarking tools should contribute to rais[ing] awareness of the potential of CCIs for local economic development and should support the design of evidence-based policies” (ibid.).
Good Practice Design Ladder (DK) Practice identified from INTERREG IVC project SEE Description The extent to which design may enhance creativity, innovation and competitiveness depends on a company’s use of design. The Danish Design Centre (DDC) was convinced that design-driven companies were far more likely to develop new products compared with those that were not. Therefore in 2003, to prove their point to industry, the DDC in association with the Danish National Agency for Enterprise launched a survey to assess the economic benefits of design. Objectives The Design Ladder was developed by the Danish Design Centre (DDC) in 2003 as a tool to measure the level of design activity in Danish businesses. The Ladder, used as a framework for a survey, was the first step in developing a method to assess the economic benefits of design in Denmark. Relevance for policymakers The Design Ladder is a remarkable and successful tool for evaluating design promotion. This comes at a time when the absence of effective indicators to evaluate the economic benefits of design seems to be a major obstacle to discussions on an effective design policy or strategy at the regional, national, or European level. Not surprisingly, other regions have shown interest in the methodology. It has even been adopted in initiatives in other European countries including Austria, Sweden, and Switzerland.
However, it is important to highlight that a key issue for a successful measurement process is a systematic evaluation. Only the collection of data over consecutive periods will provide comparative data and therefore, meaningful results. Consistency seems to be key in the successful development of the Danish method. By assessing how many companies move up a rung on the Design Ladder, once design promotion and policies have been implemented, the Danish government has a tangible assessment of the role of design in industry.
It can be concluded that the success of CCI practices and policies is based on:* formulating clear and measurable targets and objectives
* the regular (repeated) quantitative and qualitative evaluation of the results achieved
* the modernisation of policies related to the evaluation results.
3.3 Export potential and internationalisation of creative industries
The export potential and internationalisation of CCIs have already been identified as an upcoming policy focus for the EU creative industries with a view to enlarging the diversity of the market base for CCI companies and more fully benefiting from the opportunities of the international markets (OMC38 Working Group of EU Member States Experts on Cultural and Creative Industries, European Creative Industries Alliance). At the same time, this topic has not yet been fully integrated into ongoing creative industries policy measures in many regions and cities.
“The INTERREG IVC programme provides a natural platform for interregional cooperation, internationalisation and export of local and regional SMEs in creative industries.”
The focus of this chapter is the added value INTERREG IVC can create for CCI export and internationalisation: INTERREG IVC and other interregional, transnational, and cross-border (EU) programmes have the potential to further contribute to the export and internationalisation of Creative Industries, since, by nature, they support exchange and provide platforms for meetings and networking (which are already being and could be further used by local CCI entrepreneurs) designed to help overcome one of the main barriers to export, namely, the need to get to know potential business partners and clients abroad39.
In the INTERREG IVC good practice analysis, only a handful of practices aimed at contributing to ‘Export / Internationalisation of CCI companies’ have been identified. A related observation is that those focusing on internationalisation and export started their creative industries policy activities at least five or ten years ago and are mainly based in an urban context.
INTERREG IVC projects have been carrying out activities aimed at internationalising ‘their’ local and regional CCI companies (e. g. the Blender events within the CREATIVE METROPOLES project at the level of large European cities40, and the co-operation fostered between fashion designers from the Netherlands with production companies in Romania within the ORGANZA project41).
Good Practice BLENDER! (SE) Practice identified from INTERREG IVC project CREATIVE METROPOLES Description Blender!Stockholm, organised in 2010, invited creative entrepreneurs to meet companies from 11 European cities to participate in a free networking event in Stockholm. The companies invited had to be willing and capable of contributing to the discussions with other creative companies from different countries, eager to network and improve their pitching skills. The event was organised as part of the Creative Metropoles INTERREG IVC project and was moderated and produced by the Finnish association in charge on developing the creative industries ‘Diges ry’. Objectives The goal of the half-day events was to mix and match companies coming from different fields of creative industries, representing different European cities. In small groups, the companies were asked to discuss weak signals, upcoming changes affecting their business and together analysed the new business opportunities that the changes could bring. Along with the discussions the participating companies received training on how to pitch their ideas. Relevance for policymakers
The initiative ‘BLENDER!’ demonstrates how INTERREG IVC networks can be successfully used for supporting the internationalisation of entrepreneurs from the creative industries. It combines networking with training activities especially relevant for young and upcoming entrepreneurs. However, further additions to the programme allowing professional insight into the target market would enhance the commercial and export perspectives for participating entrepreneurs.
Website http://www.creativemetropoles.eu/event/blender-event-in-stockholm-18-3-2010-mixes-creative-companies-from-different-european-metropoles Good Practice Arnhem Fashion Factory’s Monster-atelier in Romania (NL, RO) Practice identified from INTERREG IVC project ORGANZA Description In March 2011, the first Arnhem fashion delegation left for Iasi in Romania. The party included delegates from designer label companies Spijkers and Spijkers and Sjaak Hullekes, Arnhem Mode Incubator’s Danielle Wanders, and I, Pieter Jongelie of the Arnhem Fashion Factory – Monsteratelier (The Sample Workshop) accompanied by ORGANZA partners Esther Ruiten of the city council of Arnhem and Dany Jacobs of ArtEZ/ARCCI.
The business trip included visits to production companies as well as to a local Dutch agent. The production companies had been pre-selected by the Romanian ORGANZA partner. After a successful start of negotiations, there have already been follow-up missions and the first contracts have been signed.
Objectives The initiative aimed at identifying potential production companies based on a whole set of criteria in order to create a link between the fashion (pre)production in the Netherlands and the larger production companies in Iasi, Romania. Relevance for policymakers
The project demonstrates how market intelligence found at the places of INTERREG IVC partners can be fruitfully combined for the benefit of local CCI companies.
This practice demonstrates how a strategic internationalisation approach is needed for creative industries companies to be able to achieve sustainable results on the international markets. INTERREG IVC partnership can provide a valuable framework for these export activities.
Website http://www.organzanetwork.eu/sites/default/files/organza_news9-lr.pdf (page 10)http://www.creativemetropoles.eu/event/blender-event-in-stockholm-18-3-2010-mixes-creative-companies-from-different-european-metropoles
Additional interesting practices from INTERREG IVC projects include the topics of mobility, and the role CCI umbrella organisations could play to support their members’ export efforts:
Although not having specifically addressed the issue of the internationalisation of Creative Industries, the INTERREG IVC Creative Growth project provided recommendations for setting up a mobility scheme in co-working and incubator spaces.
Of interest is also the practice of the INTERREG IVC project ‘INNOCRAFTS’ partner National Institute of Arts and Crafts in Paris, which provides systematic information for crafts companies with a focus on exporting (42).
Success factors for better organising CCI entrepreneur participation in interregional EU projects include:* exchange and meeting platforms;
* the organisation of bilateral trade missions to target markets including access to market intelligence from the countries of the INTERREG project partners;
* involving entrepreneurs in round tables or public debates organised within an inter-regional or transnational project context in order to make their voice heard and their practical experience included in CCI policy-making.
Policymakers who are also seeking to develop internationalisation and export support measures beyond INTERREG IVC are invited to make use of the related OMC CCI policy handbook, expected to be published by the end of 2013.
3.4 Social-cultural hubs
The term ‘hub’ is a synonym for a new working environment, as we have seen from co-working spaces. Co-working is a style of work that involves a shared working environment, often an office, and independent activity. Unlike in a typical office environment, the individuals co-working are not usually employed by the same organisation. Typically, it appeals to work-at-home professionals, independent contractors, freelancers or people who travel frequently and who end up working in relative isolation. These types of working situations are also typical for many creative entrepreneurs.
We would suggest that new place-based urban and regional policies should include self-organised hubs and the neighbouring citizens in order to increase local participation as well as local value creation.
Co-working is also the bringing together of a group of people who are still working independently, but who share values, and who are interested in the synergy that can be brought from working with like-minded talented people in the same space. It addresses several issues related to regional and urban development – namely the use of space and the integration of creative entrepreneurship into local development.
Furthermore, the concept might contribute to overcoming some development challenges such as the use of empty premises, as well as the restrictions in public budgets. Co-working spaces are mostly self-organised, so we have coined these initiatives as ‘self-organised hubs’ (i.e. without public funding), that represent innovative virtual and physical hubs, where creative agents can benefit from new services while undertaking their creative work. There is an impressive large and growing independent scene of socio-cultural hubs that make use of digital technology, open data, open innovation in combination with cultural hubs, new place making processes and new business models, in the field of social entrepreneurship for example. Several INTERREG IVC projects in creative industries have identified projects in the field of hubs and cross-sectorial working spaces (e. g. ORGANZA, Creative Growth).
Nevertheless, finding the best way for public policy designed to create growth and jobs through creative industries to support these bottom-up approaches remains a challenge. Policy models that focus on creating a favourable environment seem to be the most promising.
Good Practice Co-working Hub LYNfabrikken – Aarhus (DK) Practice identified from INTERREG IVC project Creative Growth Description LYNfabrikken was founded in 2002 by Louise Gaarmann, Jeppe Vedel and Lasse Schuleit. This is based in an old factory structure which become a regional scene over the last few years. The name ‘LYNfabrikken’ in Danish means ‘Lightning Factory’. The former factory building is located in a backyard in the centre of Aarhus, home to about 250,000 residents, which is located on the Baltic coast of Jutland. Since then LYNfabrikken has evolved into a platform for creative companies and start-ups in Aarhus. Objectives LYNfabrikken regards itself as more than just a beautiful and inspiring environment. It aims to produce exciting new content. This comes in the form of an exhibition space, simply known as the ‘box’, open for the presentation of ideas and concepts at the intersection of design and art targeted at international and national creative professionals in the fields of design, architecture and craftsmanship. LYNfabrikken is also a platform where the artists talk about their work processes, process innovation, business opportunities and the new challenges in the factory and in other cities to a wider urban audience. After 10 years, LYNfabrikken is not only a place, but a kind of centre of excellence, which produces and ‘lives’ ideas on creative collaboration, entrepreneurship, networking, organisation of work and exhibition rooms passes as consultants and advisors. Relevance for policymakers
The founders of LYNfabrikken have added consultancy and network competences within European projects (particularly INTERREG IVC) to their portfolio. Furthermore, they act as co-organisers and managers of large seminars, film screenings and exhibitions. LYNfabrikken sees itself more as a philosophy, an attitude and a feeling than just an operator of an old factory.
LYNfabrikken therefore provides a good example of how entrepreneurial development can be combined with urban place-based targets.
Website http://www.lynfabrikken.dkhttp://www.seeplatform.eu/casestudies/Design%20Ladder Good Practice Fab Lab LX, LisboaPortugal (PT) Practice identified from INTERREG IVC project Cross Innovation Description The Municipality of Lisbon wants to contribute actively to making Lisbon a city open to exploring new motivations, experiences, concepts and innovations. The rehabilitation of Forno do Tijolo Market is currently underway to include the installation of a Co-Working space (following a tender launch, where the winning bid was submitted by the Portuguese Industrial Association – AIP/CCI) and a laboratory of rapid prototyping. The new Co-Working space will help meet the growing demand for workspaces in the city of Lisbon, with a low cost approach, economic activities with high-potential and will create employment for major segments of the population, especially creative and young entrepreneurs. Objectives The Fab Lab will provide the ideal conditions for creative people – about 90 jobs – to develop their innovative activities.
Objectives and benefits for Lisbon: it will be a space that will allow prototyping to test product ideas at low cost;
The Fab Lab is also the beginning of a possible new era: a place where you can create and produce your own product. The Fab Lab will be an instrument for testing and developing products tailored to the needs of Lisbon citizens, particularly the less fortunate;
The Fab Lab will be open for public use, thereby becoming a true participatory initiative.
Relevance for policymakers
The Fab Lab combines services for SMEs, such as prototyping and is based on a private-public-partnership. It is also open to schools and the local population. Furthermore, the Forno do Tijolo Market interlinks with start-ups and provides incubation.
This integrated approach, which includes social and economic objectives, could serve as a model for new hubs in Europe.
The increasing number of co-working spaces has allowed for a greater understanding of the complexities of the development of permanent micro-spaces, which serve as a hub for communication, work, exhibition and professional environment. They mainly take account of the following aspects:* Large communication sections, mostly used as a café space
* Flexible and reasonable rents for a working space
* Mutual exchange between members that see themselves as part of a growing and also locally based community
* Events at the space to attract neighbours, friends, and other people to raise awareness about the potential of the place.
* As of yet, a wider network of non-corporate co-working places has not been installed and could become the focus of future interregional cooperation.
3.5 Spill-overs generated by the creative industries
Generally speaking, we talk about spill-over effects when knowledge transfers become spill-overs and businesses absorb new ideas and knowledge produced by creative businesses. Creative industries play probably a greater role in national and regional innovation systems than has previously been recognised by policymakers (43).
“The EU regional policy and its funding instruments are especially interested in the spill-over effects that the creative industries are able to create at local and regional level.”
The reasons for this are clear and are as follows:- First, these industries provide content to fuel digital devices and networks and so contribute to the acceptance and further development of ICTs, for instance broadband rollout. As intensive users of technology, their demands also often spur adaptations and new developments of technology, providing innovation impulses to technology producers.
- Second, through their specific role at the heart of the digital shift and in the new trend towards the ‘experience economy’ as well as through their ability to shape or amplify social and cultural trends, and – therefore – consumer demand, CCIs play an important role in contributing to an innovation-friendly climate in Europe.
- Third, it appears that firms that make proportionately greater use of services from the CCIs perform significantly better at innovation. Although the specific mechanisms by which this occurs are not yet well documented, it seems that creative innovation services provided by CCIs are inputs to innovative activities by other enterprises and organisations in the broader economy, thereby helping to address behavioural failures, such as risk aversion, status quo bias and myopia. Design is a good example of a creative process potentially leading to user-centred innovation. (44)
The creation of spill-over effects from the CCI is especially relevant for the implementation of EU regional policy. By contributing to innovating SMEs, regional growth and job creation can be promoted. When analysing the INTERREG IVC good practice examples collected from the project, it became evident that most of the mainstreamed practices have been able to generate spill-overs – as demonstrated by the good practices identified within Creative Growth (e.g. Spinner 2013) or from CREA.RE (Green Workshop Wendland), SEE (Territoires en Résidence) and ORGANZA (e. g. Design Centre ‘De Winkelhaak’).
Furthermore, the policymakers interviewed expect to see policies with a greater focus on creative spill-overs in the next few years. It is also apparent that only a few regions and cities have already positioned themselves on appropriated policy experiences but a large number of the practices only started two years ago and this allows little basis on which to draw substantial conclusions.
A limited number of these practices address cultural, social issues or the innovation of the public sector. Most of these practices focus on supporting innovation in SMEs. These facts are no guarantee that the potential of spill-overs from CCI will be fully used in other fields of the economy and the society.
Good Practice Territoires en Résidences (FR) Practice identified from INTERREG IVC project SEE Description Territoires en Résidences is a series of social innovation initiatives in France. A multidisciplinary team is ‘integrated’ into a college, health centre, community hub, railway station or regional administrative body for four months, spending at least three entire weeks living with local people. The aim is to co-design, with local stakeholders, a future vision that takes the form of a series of long-term scenarios and a programme of specific, medium-term actions for implementing the vision. Co-designing social innovation encourages capacity-building and ‘rapid prototyping’ within public services. Objectives The teams involved in delivering the projects are made up of a combination of designers, researchers, students, architects, sociologists, social entrepreneurs and foreign stakeholders, who share a design-thinking mind-set and use ethnographic observation and inclusive design techniques to define, explore, implement, simulate, experiment and find solutions to complex societal challenges. At the end of each programme, the goal is to turn the scenarios and projects into strategic and political decisions at regional and trans-regional levels. Relevance for policymakers
Design for social innovation is a governance tool to facilitate the creativity of communities and promote interconnectivity with the electorate.
In January 2010, during the seventh Challenges for Design Promotion conference in Paris, Stéphane Vincent, 27e Région Project Director, stated that there are greater opportunities for the application of design methods and creative thinking within regional and local authorities for addressing social innovation issues, as design is still primarily seen narrowly at national level as a tool for economic development.
‘Territoires en Résidence’ provides one of the rare examples that generates spill-over effects from CCIs for the public sector.
Website http://www.seeplatform.eu/casestudies/Territoires%20en%20Residenceshttp://www.lisboaparticipa.pt/ Good Practice Smart Gate (NL) Practice identified from INTERREG IVC project Cross Innovation Description Smart Gate is a serious game that creates an understanding and insight into the chain operations of cargo trade, underscoring the consequences of transporting ‘green’ and ‘red’ freight. It increases involvement in a new way. Playing the game gives the player an insight into the workings of the chain system and into the benefits of using the services of SmartGate Cargo. During the game, the player must transport goods at the airport transportation, transporter from the hall where the goods come through and the forwarder and handler to the airline per flight to eventually be shipped. SmartGate Cargo is a free web-based game and can be played by anyone. Objectives Airport Schiphol is the most attractive airport for transport for moving goods. Their aim is to create a safe, innovative and undisturbed air chain where all cargo is processed through the Smart Gate. Relevance for policymakers
The awareness of SmartGate Cargo has increased enormously thanks to the game, and companies around the airport have become more involved in the whole SmartGate project and are now more open and likely to change.
Dutch Customs, Schiphol Airport and ACN have initiated an innovative public-private cooperation between government agencies responsible for enforcing border-crossing legislation and the private sector.
The project demonstrates how innovation from the creative industries can be used to modernise the services of companies.
Spill-overs are likely to happen in a collaborative and interactive manner across sector borders or across different fields of action. The following aspects are needed to facilitate spill-over from CCI to other branches and fields of action (space, society, education etc. pp.):* Co-designing the interaction process of stakeholders who do not know each other and who are currently unaware of the potential of mutual exchange.
* Professional support to facilitate this exchange by independent communicators.
* Raising awareness of the fact that engagement in co-operation can be of economic benefit e.g. for designers to enhance enterprises profit rate.
* Interregional exchange needs to present the ‘big picture’ and to overcome the fear of “working with others” with a currently unknown approach and a less experienced cooperation with, for example, creative people from other sectors.
With regard to CCI spill-over effects, we can draw the following conclusion targeted at both local and regional authorities in Europe and at the programme level of the INTERREG IVC – namely the JTS and the Monitoring Committee:
Empirical evidence for concepts is needed
Apart from abstract input-output econometric statistical analysis that can only slightly demonstrate the potential of CCI and its contribution to other sectors, more regional and sectorial-based empirical expertise is needed ranging from a macro analysis to micro-case studies. A good example that attempts to do this is the approach used by the ECCE (European Centre for Creative Economy), which explores the spill-over effects not only in one city (such as is the case in many case studies, for instance as presented in the URBACT project ‘Creative SpINs’) but by focusing on a particular albeit rather densely populated region of the Ruhr Area.
Inclusion of less established social groups as potential protagonists with a view to extending the range of CCI policy programmes aimed at providing spill-over effects
Apart from CCI projects procedures, it becomes clear that younger protagonists in particular can carry ideas between sectors and societal fields. They are able to mediate between economic and social spheres and translate ideas, act as facilitators between new analogue social networks and digital media.
CCI governance structures with a clear and tailored focus are needed
It sounds paradoxical, but this is one of the deductions of this analysis. The participatory (governance) framework for potential CCI project should be broad, whereas the thematic focus should be tailored. The parameters could be based on a distinct geographical place or a series of transfer activities into tourism.
3.6 Open innovation in and with creative industries
Open innovation encompasses the various attempts to match different sources of knowledge (e.g. professional expert and more amateur knowledge) in the creation of new services and products. The concept applies to the public and private sector.
“The concept of open innovation – widely discussed in creative industries policies and in regional policy – needs to be further investigated in order to enhance its implementation potential.”
Most of the key indicators for successful CCI policy identified in the course of the analysis are closely linked to the topic of open innovation. For example, CCI transfer platforms aim at creating places of interaction, cross-sectoral clusters intended to open up CCI networks to other state or private stakeholder groups and to encourage further exchange with other sectoral clusters. Hubs like co-working spaces demonstrate the added value of informal communication between entrepreneurs of different backgrounds on a day-to-day basis. The participation of stakeholders is also a widely discussed issue in CCI and innovation policy.
Projects (e. g. the INTERREG IVC project ‘CLIQ’) address the need for a more intensive involvement of citizens in the innovation process, which is also relevant for CCI especially in light of place-based policy approaches. Public sector (service) innovation is closely linked to user-centred approaches, the involvement of citizens and the opening of rather closed policy-making circles. The INTERREG IVC project Cross-Innovation has a strong focus on innovation processes and aims to identify cross-sectoral interactions which are closely linked to open innovation processes.
The transversal theme ‘open innovation’ is of added value for CCI policymakers, but difficult to be applied and realised in practice. The developing of open innovation processes needs careful analysis and preparation (target groups, sectors addressed, and taking account of different administrative traditions). Building trust is central to success. This also relates to an appropriate use of various kinds of intellectual properties. Open innovation methods and tools especially include comprehensive stakeholder groups. Methods have to be differentiated depending on the target groups (e. g. policymakers, SMEs and other stakeholders.)
Good Practice Garage 48 (EE) Practice identified from INTERREG IVC project Cross Innovation Description Garage 48 is a series of international startup boot camp events. The events started in Estonia in April 2010 and have since expanded to other countries in Northern Europe and Africa (16 events held). All Garage 48 events are held in English and have involved around 100 participants from different countries. Participants have different skills, ranging from software development to design, marketing, sales and entrepreneurship. Objectives Garage48 events usually start at 5pm on a Friday evening. All participants gather together in a big room and pitch about 30 to 40 ideas on stage. Each idea is put on the wall and everyone can choose their favourite idea and team. Usually about 12-15 ideas will be selected and teams then start working. Garage48 provides mentors, while teams are working on their projects. Sunday night 6pm is the deadline to step on the stage again and live-demo the project. There is a jury and audience to vote for their favourites and choose the winners. Relevance for policymakers
The event profile of Garage48 demonstrates, in a remarkable manner, how open innovation can create valuable innovations in SMEs and micro-enterprises worldwide. This is also illustrated by the March 2012 Garage48 event in Estonia: It focused on creating Internet and mobile-based music products. The organisers of the event have joined forces with the annual music industry conference and festival Tallinn Music Week. From 20 ideas pitched on the first day, 14 got a team together and started development. The winner was Easyrider.me, which provided the easiest and fastest way to create, manage and share a band’s technical riders. It is an easy-to-use workflow tool allowing promoters, festival and venue managers to agree technical terms with the band.
Website http://www.cross-innovation.eu/practice/garage48http://www.lisboaparticipa.pt/ Good Practice Edison (AT) Practice identified from INTERREG IVC project Cross Innovation Description Edison is a competition of ideas hosted by tech2b and ‘business pro Austria’ each year. It is supported by academic institutions, public funds, banks, private commercial companies and other partners. Objectives This interdisciplinary network of academia, businesses, public support institutions and banks enables innovative persons to present their ideas, get feedback from experts and receive training in a number of economically relevant topics. After the preparation phase, the participants can win one of the prizes and are encouraged to start their own business. The prizes are awarded in the categories ‘technology’, ‘innovation’ and ‘creative industry’. Relevance for policymakers
The ‘Edison’ competition of ideas plays a major role in providing support for people with ideas for innovations. A number of companies have been created and the persons involved regard the support provided as essential. These companies are active in a broad range of technologies, including the creative industry.
The award itself and the categories fit together perfectly, but it is necessary to coach not only the winners but all the participants in the different categories to help them go public with their ideas and concentrate on the main duties and help to improve them, so that the ideas can actually be realised.
Moreover, the interaction between the different parts (technology, innovation, creative) of ideas could be more intense. A kind of matching system is being planned between people and their ideas in different categories.
In order to allow relevant cross-innovation practices, a series of aspects have to be taken into account:* Distinct as well as suitable events at ‘eye level’ among different stakeholders are needed.
* Memorable events provide quick acceptance for new and sceptical stakeholders
* Invest in building-up trust between participating groups / entrepreneurs and address (if applicable) IPRs
* New policy instruments such as policy clinics provide a like-minded framework in which to boost new collaboration and new formats for various stakeholders
* People’s practical, every-day and specific problems (e.g. concerning transport, food, education, housing and leisure) are very often a much better starting point for allowing cross-innovation processes than an abstract, remote problem.
4. Transferability and mainstreaming of good practice in creative industries
The transfer of good practice is one of the ‘logical’ objectives of EU-financed learning programmes for local and regional authorities like INTERREG IVC which aims to avoid having to ‘reinvent the wheel’ and seeks to speed up innovation in Creative Industries policies in Europe.
Regarding INTERREG IVC capitalisation, twelve good practice examples in Creative Industries identified have been transferred. Although a large number of CCI good practice examples (272) have been identified and documented by INTERREG IVC, only a very limited percentage of these good practice examples have been transferred (4.4 %). We expect that this figure is well below the number of practices that will have actually been transferred by the end of (or after) the INTERREG IVC projects, in view of the necessary transfer and implementation time.
Comparing the thematic fields addressed by all CCI good practice examples with those that have already been transferred, the major difference can be seen in the topic of ‘Creating preconditions’. Half of the transferred Creative Industry projects relate to activities focused on ‘Strengthening CCI’. Spill-over practices account for almost one third of transferred CCI good practice examples. But all thematic fields seem to be appropriate for a potential transfer of good practice from one region / city to another.
“Transferring good practice is an activity that requires careful planning, an appropriate budget as well as adaptation to the local and regional context.”
The SEE and ORGANZA projects have been some of the most active in transferring CCI good practice between their partners. In the final publication of the ORGANZA project, the experiences of transferring practices were documented, constituting a valuable source of information for other local / regional authorities (within or outside INTERREG IVC projects) with regard to the transfer of CCI practices. The potential of transferring CCI practices has been further analysed in the INTERREG IVC CREA.RE project.
Good Practice Bremen Coaching programmes (DE) inspired from Confetti Nottingham (UK) Practice identified from INTERREG IVC project ORGANZA Description The Organza project started its concluding phase in 2011, which sought to adapt and implement the most inspiring practices that had previously been investigated and selected in the research phase. Coaching entrepreneurship was one of several topics that was shown special interest from the partners. Related good practice transfer included the Confetti Institute of Creative Technologies, which was set up as a learning institute by industry professionals and the city of Bremen, which is considering different upcoming coaching initiatives. Objectives The city of Bremen looked to benefit from the inspiring practices related to several local initiatives by Confetti in Nottingham: Bremen has supported the development of a concept for the open space called ‘Nordpool’ which has been established on the ground floor of the building. Nordpool includes co-working as a central aspect, but the intention is to gradually add the coaching of the entrepreneurs to this. Furthermore the scheme ‘Brennerei | next generation lab’, a scholarship programme for students of creative curricula, is also located in the building as a portal for universities and companies, following the model of the coaching partner Confetti from Nottingham. Relevance for policymakers
This initiative demonstrates the multiple inspirations policymakers can gain through interregional exchange of experience and how good practices can successfully be transferred and adapted to local needs.
ORGANZA INTERREG IVC project has furthermore identified the following success factors for transferring good practices in the field of coaching entrepreneurship:
- Pre-existing good cooperation between local creative actors helped to quickly organise the work plan for the development of both pilot actions.
- Very good transferability of the inspiring practices The Hive and Confetti, since they involve the exchange of methodologies and attitudes rather than the implementation of new spaces or the creation of new events. So, less effort is required to implement the actions and achieve positive results.
Website http://www.organzanetwork.eu/sites/default/files/organza-crossing_borders_definitive_version.pdf (page 71 ff)http://www.lisboaparticipa.pt/
The transfer of practices not only entails covering the transfer costs (e.g. potentially eligible in the framework of INTERREG IVC), but also the implementation costs of the adapted practice. ERDF Operational Programmes and other Structural Funds programmes should be used for these costs. In INTERREG IVC, we label the practices of using EU structural funds other than INTERREG funding as mainstreaming. However, the integration of CCI practices in the EU Regional Programmes is often a difficult task.
In the context of the INTERREG IVC capitalisation, twenty good practices in Creative Industries identified were mainstreamed. Although a large number of CCI good practice examples (272) are identified and documented by INTERREG IVC, only a very limited number of these good practice examples have benefitted from EU Structural Funds support (7.4 %). We expect that these figures are, to a large extent, below the actual figures due to the lack of systematic information on EU funding sources (EU Structural Funds / Agricultural Funds) which were used for the INTERREG IVC CCI good practice collections.
Due to the small sample of mainstreamed CCI practices in INTERREG IVC, general conclusions on the use of EU Structural Funds for Creative Industries projects and policies cannot be drawn. Nevertheless, the analysis has shown the following tendencies: Although only 27.4% of all identified CCI good practice examples focus on the creation of spill-over effects, 40% of all the mainstreamed CCI practices are spill-over projects. This fact indicates that Regional Policy might be more accessible for projects that can provide CCI spill-over effects for regional development. A sector-specific policy aimed at strengthening CCIs comes second place (37.1%) within mainstreamed practices. Activities like mapping or awareness raising for creative industries (‘creating preconditions for CCI policy’) benefit less from EU structural funds support.
Among the INTERREG IVC CCI projects, CREA.RE in particular addressed the topic of mainstreaming and tried to contribute to the related policy-making.
Good Practice Green Workshop Wendland (DE) Practice identified from INTERREG IVC project CREA.RE Description The Green Workshop Wendland is a platform that connects design, engineering and business universities from German metropolitan areas with small and medium sized companies within the rural district of Lüchow-Dannenberg.
The Bertelsmann Foundation, one of the most established social and cultural foundations in Germany, awarded the Green Workshop Wendland for being an outstanding example for public engagement of regional companies and creative people. (Bertelsmann Innovation and Responsibility Award)
Objectives Based on establishing a local policy for creative industries, the District Administration Lüchow-Dannenberg needed to ensure financial sustainability for the implementation of the local CCI action plan. Managing authorities from EU structural funds programme were therefore systematically addressed. They needed to be convinced as to the added value of this local creative industries initiative. Relevance for policymakers
The excellent project preparation has led to the establishment of a rural CCI cluster project which has been implemented from 2011 onwards through ERDF by Lower Saxony.
Success factors include:
A professional project preparation involving external CCI experts and EU structural fund ‘insiders’
Sufficient patience for the ERDF negotiations process
A strong financial partnership involving public and private partners
The project also provides a valuable good practice on how to use open innovation for the creation of CCI spill-overs in rural areas. It shows the added value of local stakeholder groups, rural-urban cooperation as well as the possibilities of cooperation with higher education institutions.
Valuable mainstream practices were also presented by the INTERREG IVC project ‘SEE’:
Good Practice La Transfo (FR) Practice identified from INTERREG IVC project SEE Description
The project helps regions to innovate their public services with the aid of a multidisciplinary team, design methods and open innovation processes.
Objectives After 24 months of experimentation in the project ‘Territoires en Résidence’, the ‘27ème Région’ has started the new multiannual programme ‘La Transfo’ in order to assist regions with social innovation and design thinking. Both projects are financed with ERDF and will assist the French regions participating in developing innovative public services until the end of 2014. Relevance for policymakers
La Transfo (as well as the forerunner ‘Territoires en Résidence’) show, in practice, how ERDF mainstream programmes have financed innovative projects from the creative industries. It confirms that managing authorities are mainly interested in financing CCI initiatives that can provide spill-over effects for the regional (economic) development.
The project promoters have identified major challenges in connection with the implementation of creative industries-related mainstream projects: Most difficult to overcome are the delays in payments of ERDF support which can be up to two years.
In addition, the project demonstrates well how good practices can be disseminated between regions on the national territory of EU Member States – an aspect often not yet fully exploited in INTERREG IVC partnerships.
The following conclusions can be drawn following our investigations with CCI stakeholders with a view to ensuring the success of Creative Industries good practice transfer and mainstreaming:* Good practices related to all CCI topics have the potential to be transferred and adapted to the reality of the importing region. Cultural frameworks and practices must always be taken into account.
* The transfer of place-based practices is more complex than the exchange of good practice methodologies. In addition, CCI space related projects often require ‘heavy’ administrative planning and building permissions that do not encourage the transfer of activities within the (narrow) time frame of an INTERREG project.
* Crucial for successfully transferring CCI practices is a comprehensive ex-ante analysis of the existing creative industries microsystem as well as the creation of ownership of ones’ own territory.
* INTERREG IVC creative industries project managers also recommend the creation of win-win situations for both the transferring and the receiving region (financial compensation and / or new learning experience).
* Access to financial support from the EU structural funds programmes requires expertise, experience and a solid financial background. Many of the small creative industries structures therefore experience administrative and financial difficulties with accessing these funds.
5. Recommendations for ongoing projects
Six INTERREG IVC projects in creative industries are still running until 2014:
- INNOCRAFTS (www.innocrafts.eu)
- BOO-Games (www.boogames.eu)
- PLUSTEX (www.plustex.eu)
- InCompass (www.incompassproject.eu)
- Cross-Innovation (www.cross-innovation.eu)
- REGIO-CRAFTS (www.facebook.com/RegioCrafts/Info)
We have analysed their policy-making challenges and have developed a set of targeted recommendations. This chapter is therefore structured around three parts:
- The presentation of the general and individual challenges of the CCI INTERREG IVC projects.
- A set of targeted recommendations aimed at helping the projects to better benefit from the available INTERREG IVC CCI knowledge base. Especially relevant CCI good practices are highlighted for special consideration by the INTERREG IVC CCI projects.
- Potential synergies within the INTERREG IVC community as well as beyond (EU CCI initiatives)
5.1 General and individual challenges for the projects
The most common challenges experienced by the six CCI INTERREG IVC projects include (49):
Challenges INNO-CRAFTS BOO-Games PLUSTEX In-compass Cross-Innovation REGIO-CRAFTS Support of innovation in the creative sector X X X Internationalisation of SMEs in creative industries X X X X Promotion of entrepreneurship in the crafts and textile sector X X X Cross-sectoral cooperation and impact on other branches X X Access to finance X X X X X Creative Incubators X X x
Furthermore, project and ‘Component 3’ leaders were interviewed regarding the capitalisation of creative industries, and the following findings have been identified for their current project implementation:* INTERREG IVC Support partners have to ensure the necessary pre-conditions to enable a sustainable exchange of experience and transfer of CCI good practice: involvement of local/regional stakeholders (e.g. CCI intermediaries) and establishment of strategic local support groups (e.g. to accompany the transfer of creative industries good practices), mapping of creative industries (crafts) at the local level and the establishment of comparable statistical data, (given that different CCI definitions are applied in Member States.)
* Access to finance (e.g. for crafts businesses) including the wider use of EU structural funds and models to overcome the budgetary constraints of the public sector.
* Openness and readiness for networking and cooperation of creative professionals with the aim of enhancing the competitiveness of their businesses in national and international markets
5.2 How to make best use of the INTERREG IVC creative industries knowledge base
The different ongoing CCI INTERREG IVC projects are being carried out independently and with little interconnection. Project managers and ‘Component 3 leaders’ state that they are only very generally aware of the other IVC projects focusing on creative industries. This point leads to a sub-optimal situation regarding the collection of good practices because most of the projects share several common issues. It is therefore recommended that an operational exchange between project coordinators be established. It is also important to explore whether related costs (e.g. travel costs) eligible can be covered by funding from the INTERREG IVC programme.
Furthermore, the following thematic recommendations might be of added value for the running INTERREG IVC projects in creative industries. The mentioned topics and related good practice concern only those themes that have not yet been covered by the overall thematic analysis of CCI good practice (see chapter 3.).
- Promotion of entrepreneurship
(in the crafts and textile sector)
The already closed INTERREG IVC project ORGANZA has widely addressed the question of how to stimulate entrepreneurship, and the related project documentation is a valuable source of information for other INTERREG IVC projects in CCIs (50). In the framework of EU regional development, policy models where entrepreneurial objectives are combined with for example urban development goals are of special interest. It is recommended that the INTERREG IVC projects INNOCRAFTS and REGIO-CRAFTS pay special attention to the following good practice example from PLUSTEX:
Good Practice ‘Maisons de Mode’ - Providing support to young fashion brands (FR) Practice identified from INTERREG IVC project PLUSTEX Description
The ‘Maisons de Mode’ project (MdM) is supported by the Cities of Lille and Roubaix, Lille Métropole, the Regional Council Nord-Pas de Calais and the Département du Nord. The project consists of accommodating around 30 designers in renovated workshops/boutiques in up-and-coming neighbourhoods of both cities. The project is managed by the Maisons de Mode Association having at its disposal the dedicated commercial location (rented by Lille Métropole) and services (staff of 12 people).
Objectives The objectives of Maisons de Mode project:
- Identifying and shepherding fashion designers wanting to develop their own label.
- Breathing new life into two neighbourhoods, Lille and Roubaix, currently in transition.
- To be the catalyst for a movement where the Lille Metropolitan Area is nationally and internationally renowned as a territory with fresh creative talent.
Designers eligible for the programme may come from anywhere in the world. They must already have had some of their season collections released and be willing to launch their own label in a professional and commercially viable manner. The only requirement is that they locate their activities in either one of the designated neighbourhoods in Lille or Roubaix.
Relevance for policymakers
The Maisons de Mode project is relevant to policy areas focusing on ‘Young entrepreneurship and innovative business models’ for several reasons, which include integrated coaching activities and the development of new business models.
The example demonstrates how place-based objectives, branding and CCI internationalisation can be combined with supporting young entrepreneurs from the creative industries (personal boutiques or multi-brands stores, commercial events, and e-commerce).
- Creative incubators
(to enable spatial cross-collaboration, in the textile and clothing sector, financial sustainability of incubators)
The INTERREG IVC projects INCOMPASS and CROSS-INNOVATION address good practice in the field of creative incubators. In addition, the PLUSTEX INTERREG IVC project aims at fostering incubation in the textile and clothing sector. Europe-wide discussions focus on how to further encourage cross-sectoral fertilisation of creative incubators and how to ensure their financial sustainability. The following good practice provides inspiration for INTERREG IVC CCI projects addressing the topic of creative incubators:
Good Practice RDM Campus (NL) Practice identified from INTERREG IVC project InCompass Description
The RDM Campus is a cooperative venture between Albeda College, Rotterdam University and the Port of Rotterdam Authority and is a campus for education, business and events.
On the campus, educational institutions and companies work together in an open environment and focus on new economic activities for sustainable and innovative solutions in the markets of Building, Moving & Powering. Among its facilities, RDM Campus has a creative incubator, called DNAMO, which is currently supporting 40+ entrepreneurs through the Pre-Incubation programme and 11 entrepreneurs through the Incubation programme, and encompasses different product ideas.
The incubator, DNAMO, was established by a group of six educational, banking and business institutions. Currently, it is also given support by some partners, with a view to becoming self-sustainable in the medium term.
Relevance for policymakers
The InCompass project manager makes the following recommendations:
The project examples from Rotterdam (like RDM) could serve as models and be of interest to CCI policymakers in Europe.
In general, the issue of empty premises which engender (enormous) costs for regional authorities could be used to generate a win-win situation for creative entrepreneurs (incubators) and public authorities.
In order to make such projects work, strong leadership is needed (a person backing the project).
It is difficult to change regional policymakers’ mind-sets so as to be able to implement innovative (incubator) activities in empty spaces. RDM shows us how to overcome some of these major challenges.
- Access to finance and use of EU structural funds
The access to and the availability of public funds in Europe for CCI support measures and company funding will be limited in the years to come.
CCI policymakers stress the fact that CCI entrepreneurs need small seed capital to prototype their ideas in order to later find ways to sell their products and services on the (national and international) market. Policymakers responsible for CCI initiatives currently financed from the Structural Funds state that – in the future – it will be necessary to find different (non-public) funding models (e.g. for creative incubators). Early stage cooperation with the Managing Authorities of Structural Funds is a precondition for success allowing for the ability to influence the programming process. Instead of individual creative businesses, intermediary structures with sufficient administrative and financial capacity should be involved in EU funding. These structures should then support the market readiness, sustainability and growth of the CCI business with target support measures. Large-scale ERDF support schemes need to involve professionals with experience using EU regional funding tools.
The INTERREG IVC project CREATIVE METROPOLES provides a whole set of good practice examples that address the topic of access to finance and to funds (52). It is recommended that CCI INTERREG IVC projects make use of these experiences.
Good Practice VC Fonds Kreativwirtschaft Berlin (DE) Practice identified from INTERREG IVC project CREATIVE METROPOLES Description
The VC fund has a volume of €30m. 50% of the funds were contributed by the Investitionsbank Berlin, the public bank of the state of Berlin, and the remaining 50% by the EU Regional Development Fund (ERDF). The investment period started in 2008 and will last until 2013. (…) During the first two years of operation (2008–2009), 250 companies from the creative industries were evaluated, and 10 companies were financed. The fund has invested €6m, and a further €20m has been contributed by private co-investors to the 10 companies.
The aim of the fund is to strengthen the equity basis of small and medium-sized growth enterprises in Berlin’s creative sector by providing investment capital. The funds are primarily provided in order to finance the development and launch of innovative products or services. Investments are made in the following areas: film, radio, TV, publishing, music, entertainment, advertising, fashion, design, architecture, multimedia, games, software, art and culture.
Relevance for policymakers
Success factors include:
The management of VC Fonds Kreativwirtschaft works in close cooperation with the founders of the financed companies and the private investors to help achieve the business goals.
The fund managers provide an in-depth understanding of the inception and growth of start-up companies and offer support to the portfolio companies with a wide range of network activities.
The fund managers also assist in the structuring of follow-on financing rounds and give access to a network of potential co-investors otherwise unavailable to the entrepreneurs.
Problems and challenges include:
During the recession in Germany in 2009, the national venture capital activities dropped by 45% compared to the previous year. Hence, finding private co-financing partners for promising CCI companies has proven to be a challenge.
In order to adjust to this changing environment, the fund managers had to tap into new financing resources by expanding their network into family offices and angel investors.
Furthermore, some segments of the creative industries are more compatible with the VC financing model than others. Deal flow from areas such as multimedia, games, software, music and TV is strong, while there is yet to be discovered, for example, a business in arts and culture suitable for a VC investment.
VC Fonds Kreativwirtschaft is one of the most inspiring CCI venture capital initiatives in Europe co-financed from ERDF which makes it especially relevant for regional policymakers.
Website http://www.creativemetropoles.eu/uploads/files/CMportfolioWEBversion.pdf (page 22 ff)http://www.rdmcampus.nl/english#RDM
5.3 Potential joint activities and events between individual projects and EU CCI initiatives
In order to make better use of the existing synergies between the INTERREG IVC projects on creative industries and to foster a more intense exchange with the on-going EU CCI initiatives, joint activities and events could be of added value and mutual benefit. Several thematic priorities addressed by INTERREG IVC CCI projects are also included in EU creative industries initiatives:
INTERREG IVC CCI Thematic priorities (running projects) OMC Working group on Cultural and Creative Industries European Creative Industries Alliance European Design Innovation Initiative URBACT II Innovation in the creative sectors Integration of design as driver for user-driven innovation Thematic Cluster ‘Innovation and Creativity’ Internationalisation of SMEs in creative industries CCI export and internationalisation support strategies (2012-2013) Clusters to support developing international access of SMEs Cross-sectoral cooperation and impact on other branches (Spill-overs) Innovation support (through voucher schemes, cluster excellence and cross-sectoral linkages) Integration of design as driver for user-driven innovation Thematic Cluster ‘Innovation and Creativity’ (e.g. thematic network Creative SpIN) Access to finance Good practices on financial engineering for SMEs in cultural and creative industries (2013-2014) Access to finance (new financing sources incl. crowd funding and guarantee funds)
Source: own table
In the near future, potential joint activities between INTERREG IVC CCI activities (such as common workshops, thematic seminars, benchmarking of practices and policies) could focus on the following thematic core issues:* Innovation processes inside and outside the creative industries (cross-innovation, social innovation, open innovation in EU regional policy), e.g. in cooperation with the European Creative Industries Alliance, the European Design Innovation Initiative and URBACT II
* Internationalisation of SMEs in creative industries (including policy practices related to the interregional cooperation programmes inside Europe and beyond) in cooperation with the OMC working group on cultural and creative industries and the European Creative Industries Alliance
* Access to finance including the EU regional funds (interregional transfer and mainstreaming) in cooperation with the OMC working group on cultural and creative industries and the European Creative Industries Alliance
In addition, joint events organised at the INTERREG IVC programme level (e. g. thematic capitalisation workshop on creative industries) should include a ‘market place’ for the IVC projects focusing on the creative industries in order to allow for a more in-depth exchange of good practice and experience with ongoing projects.