Towards Demand Based Innovation Policy? The Introduction of SHOKs as Innovation Policy Instrument

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Exxon Mobil and ConocoPhillips stock price has been predicted using the difference between core and headline CPI in the United States. Linear trends in the CPI difference allow accurate prediction of the prices at a five to ten-year horizon.

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Keskusteluaiheita – Discussion papers
No. 1182
Tuomo Nikulainen – Antti-Jussi Tahvanainen
TOWARDS DEMAND BASED INNOVATION POLICY?
– The introduction of SHOKs as
an innovation policy instrument
Corresponding author: Tuomo Nikulainen, Etlatieto Ltd. / ETLA (The Research Institute
of the Finnish Economy), Lönnrotinkatu 4 B, 00120 Helsinki, Finland.
Phone: +358-50-548 1336. Fax: +358 9 601753. E-mail: tuomo.nikulainen@etla.fi.
Funding by the Ministry of Economy and Employment within the “Evaluation of the
Finnish National Innovation System”, and Tekes and Technology Industries of Finland
Centennial Foundation within the “Finland in Global Competition” project is kindly ac-
knowledged.
ISSN 0781-6847 13.03.2009
ETLA ELINKEINOELÄMÄN TUTKIMUSLAITOS
THE RESEARCH INSTITUTE OF THE FINNISH ECONOMY
Lönnrotinkatu 4 B 00120 Helsinki Finland Tel. 358-9-609 900
Telefax 358-9-601 753 World Wide Web: http://www.etla.fi/

NIKULAINEN,Tuomo–TAHVANAINEN,Antti‐Jussi,TOWARDSDEMANDBASEDINNOVATIONPOLICY?
‐TheintroductionofSHOKsasaninnovationpolicyinstrument.Helsinki:ETLA,ElinkeinoelämänTutki‐
muslaitos,TheResearchInstituteoftheFinnishEconomy,2009,19p.(Keskusteluaiheita,Discussionpa‐
pers,ISSN0781‐6847;No.1182).

ABSTRACT:Thispaperaimstoprovideanoverviewoftherecentlyintroduceddemandbasedinnova‐
tionpolicyinstrumentinFinland‐theStrategicCentersforScience,TechnologyandInnovation(in
Finnish‐SHOKs).SHOKsareformedtosupporttheinnovativeactivitiesofexistingindustriesin
Finlandwithemphasisonindustrialrenewalthroughinnovation.Thefocusinthispaperisonthe
currentstateofSHOKs,theroleofdifferentactorsintheirformationprocess,theorganizationof
SHOKs,thedevelopmentofstrategiclong‐termresearchagendasandshort‐termresearchprograms,
thechallengesrelatedtointellectualpropertyrights,andco‐operationbetweendifferentSHOKs.The
papercomparesthesedimensionsacrossSHOKsandtriestohighlightsomepotentialthreatsand
opportunitiesthatmightarise.Theunderlyinginterviewdatashowsthat,whileSHOKsarefairlysimi‐
larinmostofthedimensions,therearedifferencesinpartnerselection,industryspecificity,and
formulationofresearchareas.ItshouldbenotedthatindividualSHOKsareinverydifferentstagesof
developmentassomehaveexistedfortwoyearsandothersarestilltobeestablished.

Keywords:SHOK,demand‐basedinnovationpolicy,policyinstruments,nationalsystemsofinnova‐
tion
JEL:O31,O32,O33,O34,O38




1.Introduction

Demandbasednationalinnovationstrategieshavebecomemoreprevailingsincetheintroductionof
theLisbonStrategyin2004,whichemphasizedEUleveleffortstodrivetheuniontowardsamoredy‐
namicandcompetitiveknowledge‐basedeconomycapableofsustainableeconomicgrowthwithmore
andbetterjobs,agreatersocialcohesion,andrespectfortheenvironment.Thishasalsomotivated
policymakersinFinlandtofindabalancebetweenscience/technology‐basedanddemand‐basedinno‐
vationpolicies.InFinland,innovationpolicyhastraditionallybeenmoretechnology‐orientated.Thus,
thesomewhatnewemphasisondemand‐drivenorientationcreatedaneedfornewstrategicchoicesin
draftingandimplementingnationalinnovationpolicy.Thisneedwasacknowledgedbyseveralgovern‐
ment‐initiatedreportsthatidentifiedanumberofglobalchallengesforFinland.

Theidentificationofthesechallengesprovidedthebasisforalineofargumentation,accordingtowhich
thepublicandprivateactorsoftheFinnishinnovationsystemshouldinvestmoreandsystematicallyin
R&Dactivities.Publicinvestmentshavetraditionallybeendistributedratherevenlyoverallinnovative
activityinFinland.ThroughtheStrategicCentersforScience,TechnologyandInnovation(henceforth
SHOKs–theFinnishacronym),theaimistobreakwiththetraditionandlaymoreemphasisonthe
economicrelevanceofinnovativeactivityasthedecisivecriterionforpublicfundingwhile,atthesame
time,acknowledgingalsothesignificantroleofresearchasaprerequisiteforinnovation.Theoverall
objectiveistopromotegrowthandrenewaloftheeconomyandtogenerateemployment.

TheinitialideasleadingtotheestablishmentofSHOKsemergedin2003attheResearchandInnova‐
tionCouncil(RIC),whichischairedbythePrimeMinisterofFinland,andadvisestheFinnishgovern‐
mentanditsMinistriesinimportantmattersconcerningresearch,technology,innovation,andtheir
utilizationandevaluation.Itisresponsibleforthestrategicdevelopmentandco‐ordinationofthe
Finnishscienceandtechnologypolicyaswellasofthenationalinnovationsystemasawhole.

RIC’sSHOKinitiativeislargelygroundedintwoseparate,wide‐reachingassessmentsbyboththe
governmentandRICevaluatingthestructureofpubliclyfundedresearchinFinland.1Initsreporton
Finland’sglobalizationpublishedin2004,thegovernmentclaimedthat,inordertogenerateand
maintainhigh‐qualitycompetitiveexcellenceinFinnishindustryandeducation,itwouldbenecessary


1 Thefinalreporton”Finland’scompetence,opennessandrenewability”ofthe”FinlandintheGlobalEcon‐
omy”projectin2004,andtheRICreporttitled“InternationalizationoftheFinnishscienceandtechnology”(in
Finnish)in2004.

2
tocreatecentersoragglomerationsendowedwithasufficientlylargecriticalmassintheirrespective
sectors.Accordingtothereport,thecreationofsuchcenterswouldnecessarilyimplyexclusionarystra‐
tegicchoices,but,atthesametime,alsofacilitateatargetedallocationoflimitedresourcestothose
sectorsofindustryandacademiaconsideredmostsignificantregardingthecompetitivenessofthe
Finnisheconomy.Initsownassessmentpublishedlaterin2004,RICimplicitlyapprovedtheconclusions
derivedbythegovernment.Inthereport,RICemphasizedtheimportanceofsettingprioritiesandse‐
lectivedecisionmakingregardinginternationalco‐operationaswellasindevelopingnationalopera‐
tions.Incongruencewiththeargument,RIC’sreportsuggestedtheestablishmentofnewinternation‐
allynoticeablehigh‐qualityprograms,andcentersofinnovation,researchanddevelopment.

BasedonRIC’sreport,thegovernmentmadeadecisionin2005toreallocateandprovideadditional
resourcesforpubliclyfundedresearch.Thus,RICsetupanothercommitteein2005toconceptualize
theSHOKs,ataskthatwascompletedin2006.BasedonthisworkTekes,andtosomeextendalso
theAcademyofFinland,startedtheirworkonfacilitatingtheestablishmentoftheSHOKsinsectors
thatareconsideredbesttomeetthelong‐termneedsofFinnishindustryandsociety.ThefirstSHOK
wasestablishedbytheforestrysectorin2007.Anotherthreeareoperationalbynow(ICT,metal
productsandmechanicalengineering,aswellasenergyandenvironment)andtwomorewillbeop‐
erationalin2009(healthandwell‐beingaswellasbuiltenvironmentinnovations(i.e.construction)).
TheemergenceofSHOKshasasignificantimpactonthefutureallocationofpublicR&Dfunding.The
currentshareofpublicR&DfundingisillustratedinFigure1.

Figure1.R&DinvestmentsinFinland(Total6.2billion€,3.45percentofGDPin2007)
16%
11%
73%
Publicsector Publicsectorcompetitive Enterprises
Publicsector total funding
€1.7billion (27%ofall)
Nokiaapprox.
47%ofall BERD
>80%telecom R&D
Competitive public
funding 42%oftotal
public R&Dfunding
Tekes500M€
Academyof
Finland 250M€

Source:StatisticsFinland

3
AccordingtothecurrentvisionSHOKswillaccountforroughly20%(123million€)ofTekes’annual
publicsupportforR&Dandinnovationby2012.Tekeshasindicatedthatitiscommittedinlong‐term
totheoperationsanddevelopmentofSHOKs,andwillfinanceresearchprogramsonlong‐termbasis.
OverlappingpartsofothercurrentTekesprogramswillbeintegratedintoSHOKsinathreetofour
yearstime.

IneachSHOKcompanies,universities,researchinstitutes,andotherpartnerswillfirstagreeona
jointstrategicresearchagenda(SRA),basicallyavisionoftheprojectedneedsofcompaniesregard‐
ingthedevelopmentoftechnologyandinnovationsfivetotenyearsintothefuture.TheSRAisthen
jointlyoperationalizedintoseverallong‐termresearchprogramsincludingtheirsegmentationinto
individualprojects.Theresearchprogramsareimplementedthroughtheseprojects.Intheprograms,
participantsdevelopsharedknow‐how,sharedtechnologyandserviceplatforms,andutilizeshared
researchenvironmentsandresearchtools.Theresearchprogramsservethepurposeofcreatinga
strategicfoundationofknowledgeandthebasisforthedevelopmentofapplications.Insubsequent
stages,resultsarisingfromSHOKresearchprogramscanbeappliedinprojectseitherwithinorout‐
sideSHOKs.Tothisend,purelycorporateprojectsimplementingmoreappliedapproachesarean
integralpartoftheSHOKconceptaswell.

Havingsaidthis,however,thecharacteristicnatureofresearcheffortsandtechnologydevelopment
inSHOKprogramsismainlylong‐termandpre‐competitivewithabroadgroupoftheSHOKshare‐
holdersandexternalparticipantsbeingjointlyengagedinresearch.Asanexception,oneSHOK
statedexplicitlythatitsresearchwilltendtofavorarelativelyshorterhorizonwithresultsexpected
tohaveanimpactonmarketswithintwotothreeyearsfromtheinitiationofprojects.ThisSHOK
wascomparedtoanacceleratorspeedinguptheprocessoftechnologydiffusionfromtheuniversity
labtothemarkets.InFigure2belowthedifferenttypesofresearchassociatedwithSHOKsisillus‐
tratedbypositioningtheresearchactivitiesinthebroaderframeworkoftheFinnishinnovationsys‐
tem.









4
Figure2.PositioningofSHOKsintheFinnishinnovationsystem
Curiosity
research
AcademyofFinlan d
programs
Risk
Marketorientation
Resea rch Applied r esearc h Product developme nt
Corporate R&D
Tek es
programs
SHOK
PRE‐COMPETITIVE COMPETITIVE

Source:AdaptedfromFIMECCpresentationmaterial

SHOKsfocusonpre‐competitiveresearchactivitiespartiallyoverlappingwithcurrentlyexistingpro‐
gramsbytheAcademyofFinland(basicresearch)andTekes(appliedresearch).Thecompetitive
researchanddevelopmentisviewedtobeinthedomainofin‐housecorporateR&Dand,thus,isnot
integraltotheconceptofSHOKs.Thisfocusoncollaborativepre‐competitiveresearchisillustratedin
Figure3.

Figure3.TheroleofSHOKsinR&D
Relative R&Dinvestment
Low High
Strategic research agenda
In‐House Co‐operative
SHOK

Source:AdaptedfromFIMECCpresentationmaterial

5
TheresearchactivitiesconductedwithinSHOKscanbeassessedalongtwosimplifieddimensions:the
strategicresearchagendas(in‐housevs.co‐operative)andrelativeR&Dinvestments(lowvs.high).
PriortotheemergenceofSHOKstheco‐operativeR&D‐projectswerecharacterizedbylowinvest‐
mentsleadingtoshort‐termprojects.Inthisdimension,SHOKsprovideanenvironmentinwhich
resourcescanbepooledtogethercreatinglargerprogramswithsufficientcriticalmassandlong‐term
financialcommitmentthatallowresearcherstofocusonresearchactivitiesinsteadofacquiringfund‐
ing.Thesmallershort‐termcollaborativeprojectswillnaturallyexistalong‐sidetheSHOKsresearch
activities.Forthein‐housecorporateR&DactivitiesSHOKswillprovidepossibilitiesforconducting
moreR&D,asSHOKsprovideadditionalresources(internalandexternalviacollaboration)forre‐
search,andcompaniescanfocusondevelopingthecreatedknowledgeintocommercialapplications.
Inaddition,companiescanidentifypotentialnewpartnerswithwhomtheywanttoco‐operateout‐
sidetheSHOKenvironmentinmoreapplicationorientatedR&D.OneoftheaimsoftheSHOKsisto
incorporatemoreopennessintotheinnovativeactivitiesoftheindustries,whichwouldbenefitboth
thecompaniesintheireffortstointroducenewcommercialapplications,andatthesametime,pro‐
videmorelong‐termresourcesforpublicsectorresearch.

Theopennessofco‐operationinSHOKprogramsisalsoreflectedinthegeneralIPRguidelinesac‐
cordingtowhichallparticipantsofsingleprogramsareprovidedwiththerighttouseanyIPRemerg‐
ingoutoftheprograms’researchworld‐wideandacrosstheentirecorporatestructurewithouthav‐
ingtoprovideadditionalcompensationtotheoriginalinventoroftheIPR.

TheadministrativecoreofeachSHOKisalimitedcompany(henceforthSHOKmanagementcompany)
withtheSHOKparticipantsconstitutingitsshareholders.Inadditiontocompanies,thisincludesalso
universities,researchinstitutes,andotherpartnerssuchaspolytechnicsandintermediatingorgani‐
zations.Themanagementcompanyhasacoordinatingrolepreparingprogramfundingapplications,
takingcareoftheinternalorganizationofSHOKoperations,andmediatingbetweenshareholders.As
thecorporateperspectiveissupposedtodominateandhaveadirectinfluenceonresearchinSHOKs,
universitiesandresearchinstituteshavebeenallocatedacumulativeshareofaround30percentin
therespectiveSHOKs,andtheremaining70percentisallocatedtoindustryparticipants.Sharehold‐
ersofSHOKsareprivilegedtohaveboardrepresentation,toparticipateinthedesignofthestrategic
researchagendasandtheresearchprograms,and,thereby,tohaveaninfluenceonthesubstanceof
researchtobeconductedintheSHOKenvironment.

Thisdoesnotimply,however,thatSHOKresearchistobecarriedoutinaclosecircleofshareholders
exclusively.Onthecontrary,itisseenthatbroaddomesticandinternationalnetworkingwithactors

6
thatareendowedwithstrategicexcellenceintherelevantfieldsofindustryandacademiaarepre‐
requisitefortheviabilityofSHOKs.Notbeingshareholders,theseexternalactorsarenotentitledto
boardrepresentationinSHOKs,and,thus,donothavetherighttomakedecisionsregardingresearch
agendas.Theywill,however,beintegratedintothedesignphasesofprogramsastheircomplemen‐
taryexpertiseisregardedavaluablecontribution.Externalactorswillbeintegratedintotheimple‐
mentationofprogramsandprojectsoncontractualorotherprovisionalbasis.Externalparticipants
willalsohavethesameunlimitedrightofusetoIPRemergingoutofSHOKprogramsashavethe
shareholders.TheallocationofIPRis,therefore,linkedtotheparticipation,nottheownership,in
SHOKprogramsandtherespectiveprojects.Inadditiontotheshareholders(companies,universities,
researchinstitutes,etc.)andexternalparticipants,publicfundingorganizations(mostnotablyTekes‐
theFinnishFundingAgencyforTechnologyandInnovation–andtosomeextendtheAcademyof
Finland)committhemselvestoprovidingfundingforthecentersinthelongterm.

RegardingtheinterrelationbetweenthegrowthofeconomicproductivityandtheroleofSHOKs,itis
importanttonotethat,accordingtogeneralview,productivitygrowthincreasesintwodimensions:
first,throughthegrowthofproductivityinexistingfirms,andsecond,viacreativedestruction,when
firmsoflowproductivityexittheeconomyandnewfirmsofhigherproductivityenterit.SHOKswere
createdprimarilytoservetheformerdimensionbyincreasingthevalueaddedandimprovingeffi‐
ciencyinexistingfirms.ThelatterdimensionhasexcludedfromthecontextofSHOKs,astheyare
beingaddressedthroughotherinnovationpolicyinstruments.Nevertheless,SHOKsareexpectedto
havespill‐overeffectsimpactingstart‐upactivity,forexample.

ThispaperaimstoprovideanoverviewofthecurrentstateoftheSHOKs,whatkindofchallenges
andopportunitiesSHOKsandtheirparticipantswillhave,andwhatkindofmoregeneralconcerns
andbeliefsareassociatedtotheemergenceofSHOKs.Thispaperdrawsonofficialpublishedand
unpublishedcommunications,andinterviewstoprovideabroadoverviewoftheSHOKs.

Thepaperisstructuredasfollows:Section2providesanoverviewofgeneraleconomicindicatorsof
theclustersaroundwhichtheSHOKsareformed;Section3focusesondifferentdimensionsofthe
SHOKssuchastheorganization,rolesofparticipants,formationofresearchagendas,andchallenges
relatedtointellectualpropertyrights(IPR);andSection4concludesbysynthesizingthediscussion
andhighlightspotentialthreatsandopportunitiesthatmightberelatedtoSHOKs.




7
2.EstablishedindustryclustersasabasisforSHOKs–Anoverviewofgeneral
indicators

SHOKsareorwillbebuiltaroundexistingFinnishindustrialclusters.Currentlytheseincludethefor‐
est,informationandcommunication(ICT),metalproductsandmechanicalengineering,healthand
well‐being,energyandenvironment,andconstructionclusters.Table1providessomegeneraleco‐
nomicindicatorsandotherfactstoillustratetheclusters’significanceintheFinnisheconomy.

Table1.FactsandfiguresofindustrysectorsrelatedtoSHOKs(numbersbasedon2006statistics)
ForestICTMetal&engi‐
neering
Health&
well‐being
Energy&envi‐
ronment
Construction
CoreindustriesPaperandpulp
production

Woodproducts

Electronics

Software

Telecom

Services

Content

Rawmetals

Metalproducts

Machineryand
vehicles

Marine
technologies

Privateand
publichealth&
socialservices

Healthtech‐
nologies

Pharmaceuticals

Energyandfuel
production&
distribution

Watermainte‐
nance

Wastemanage‐
ment&recycling

Construction

Construction
materials

Design

Maintenance
Totalturnover
(expenditures)
30billion€70billion€46billion€15billion€
(54billion€)
32billion€48billion€
Exports15billion€15billion€20billion€2billion€12billion€6billion€
Employment~130000~240000~183000~500000~62000~390000
Source:AdaptedfromTekes,2008(Ihminen‐Talous–Ympäristö:Valinnattulevaisuudenrakentamiseksi)

ItisevidentthattheSHOKrelatedclustersaccountformostoftheFinnishexportingactivity(about
70%)andalargeshareoftotalemployment(about55%).Thatbeingsaid,creatinganinnovation
policyinstrumentsuchasSHOKsaroundthesestrategicallyimportantclustersisnotonlyawayto
promoteinnovationingeneral,butanexplicitandstrategicchoicetoconcentrategovernmentaland
privateresourcesonpredeterminedareasofresearchinthosesectorsoftheindustrythatconstitute
vitalpillarsoftheeconomy.

Inthefollowing,wediscussthemostcentraldimensionsofSHOKstoshedlightontheircurrentstate
andtherespectiveoperationalprinciplesunderlyingtheiractivities.Thedatausedinthisdiscussion
isbasedoninterviewswiththeCEOsoftherespectiveSHOKcompanies,Tekesrepresentatives,and
individualsintensivelyinvolvedinthepreparationsofSHOKsthat,atthetimeofwritingthisreport,
werestilltobeestablished.Thesemi‐constructedinterviews(7intotalinvolving10individuals)were
conductedbetweenJanuary23rdandFebruary2nd,2009.Thefollowingdiscussionispresentedonan
aggregatelevelfortwodistinctreasons;firstly,toallowpartialanonymitytointervieweeswiththe
intenttoobtainasin‐depthinsightsaspossible,andsecondly,toelevatetheanalysisaboveand

8
beyondtheleveloffragmentedindividualopinionsforthebenefitofidentifyingthematicpatternsof
widerscope.


3.ThecurrentstateofSHOKs–Amultidimensionalcross‐section

ThedimensionspresentedinthispapertakeaccountofthecurrentstatusesofSHOKs,theirrespec‐
tiveformationandparticipantselectionprocesses,theformationofthestrategicresearchagendas
andtheirpartitionintoSHOKresearchprograms,theappliedorintendedIPRprinciples,andthecol‐
laborationbetweenSHOKs.

3.1.Theformationandpartnerselectionprocesses

WhiletheAcademyofFinland,therespectiveindustryconfederations,andtheenthusiasmofin‐
volvedcompanieshavebeenmajordriversinbringingSHOKstolife,oneofthemostcentralrolesin
theinitiationandimplementationofSHOKshasbeenplayedbyTekes.Withaclearemphasisonthe
pre‐formationstages,TekeshasprovidedsupportforSHOKsthroughouttheprocessbycreatingthe
preconditionsforoperationsaswellasencouragingandconsultingSHOKsintheirinternaldevelop‐
mentandorganization.Thiscomprisesalsotheco‐ordinationoftheco‐operationbetweendifferent
SHOKs.InmanycasesTekesinitiatedtheformationprocess,andthroughroundsofconsultantin‐
quiriesandworkshopsforinterestedparties,coregroupsofcompanieswereidentified,whichthen
continuedwiththeactualplanningandimplementationofSHOKs.EventhoughTekeshashadacru‐
cialroleasaninitiator,SHOKshavealwaysbeenintendedtobedemanddrivenwiththeindustry
takinganactiveroleandresponsibilityinplanning,coordinating,implementingandmanagingSHOKs
includingthedesignoftheframeworkforresearchconductedinthem.Thus,withthestartofactual
operations,Tekestakesamorepassiveroleasasoundingboardforemergingideas.

AnothercentralphaseintheformationprocessofSHOKsistheselectionofpartnersthat,asshare‐
holdersoftherespectiveSHOKs,areprovidedwiththerightstoboardrepresentation,participation
intheformulationofresearchagendas,andtheuseofemergingIPR.Inthisdimension,theSHOKs
haveappliedsomewhatdifferentpolicies.WhilesomeSHOKswerenotrestrictiveintheirpartner
selectionwelcomingallinterestedpartiestoparticipate,insomeSHOKspartnerswereselectedwith
carebythecoregroupofcorporatepartners.Detailsontheselectioncriteriaremainedlargelyundis‐
closed.Whileuniversitiesandcertainresearchinstituteswerealwaysconsideredimportantpartners,
somepartnercandidatessuchaspolytechnicsandtechnologyparkswereexcludedfromanumberof

9
SHOKs.Simultaneously,however,asmallnumberofSHOKsconsideredpolytechnicsasimportant
partnersindiffusingknowledgeemergingfromSHOKresearchtoeverydaypractices.Alongthe
samelines,therearealsosignificantdifferencesbetweenSHOKsinthediversityoftheselectedpart‐
ners.InsomecasesSHOKswerecreatedaroundtheexistingactorsinthefield,whileothersaremore
diversifiedandhaveincludedpartnersthathavenotco‐operatedearlierbuthavenowidentified
potentialcollaborationopportunitieswithinSHOKs.

Theseselectionpoliciesapplytopotentialfuturepartnersaswell.Accordingtotheinterviews,SHOKs
havesomewhatdifferentpointsofviewregardingtheselectionofandopennesstowardsnewpart‐
nersinsubsequentshareofferings.Whilesomeareopentonewpartnersandalreadybringnew
partnersonboard,othersseemtobemorecontainedwiththeirpresenteffortsbeingfocusedon
establishingtheco‐operationamongthecurrentsetofpartners.Expandingtheaccessiblepoolof
expertisewasmentionedasoneofthepotentialincentivestobroadentheshareholderbase.

Inadditiontotheselectionofordinaryshareholders,partnerselectionpolicieshadtobedrawnup
regardingco‐operationwithpartnersexternaltotheshareholderbaseaswell.Theseincludeforeign
companiesandresearchorganizations(forexampleuniversitiesandresearchinstitutes),andtosome
extendSMEsinFinland.WhileforeignorganizationscannotparticipateinSHOKsasordinaryshare‐
holdersreceivinggovernmentalfundingduetothelegalrequirementsofpublicallyfundedresearch,
itshouldbenotedthatsomelargerforeignownedcorporationsdoownFinnishaffiliatesinFinland,
whichareeligibletoparticipateinSHOKs.AnothermuchdebatedgroupofparticipantsareSME
companies.ThefocusofSMEsonshort‐termR&Dobjectiveswasseenasamajorfactorcontributing
totherarepresenceofSMEsinSHOKsthataredesignedtocarryoutmoreambitious,strategically
orientedlong‐termresearch.ThemajorityofSMEswasfurtherarguedtolackthesufficientre‐
sourcestoparticipateinshareofferings.Thatbeingsaid,bothforeignorganizationsnotowningFin‐
nishaffiliatesandSMEscanandwillbeintegratedintoSHOKoperationsasexternalpartnersinre‐
searchprogramsonacontractualbasis.

3.2.SHOKmanagementcompaniesastheadministrativecore

Asalreadymentioned,thecoreofeachSHOKisthemanagementcompanytakingcareofmostofthe
administrativeresponsibilitiesrelatedtoSHOKoperations.Atthispoint,itshouldbenotedthat
SHOKsareindifferentstagesofdevelopment.Whiletheforestcluster‐SHOKwasestablishedin2007
asthefirstofSHOKs,twoSHOKsarecurrentlyinthepreparationphasewithplanstobeestablished
inthecourseof2009.Table2presentssomebasicdataontheSHOKmanagementcompaniesserv‐

10
ingastheadministrativecoreinSHOKs.Thelistofcurrentshareholdersandmembersoftheboard
arelistedinAppendixIandAppendixII.

Table2.ThecurrentstatusoftheSHOKs
Forestcluster
(Forest)
TIVIT
(ICT)
FIMECC
(Metal&
mach.)
Cleen
(Energy&
envir.)
Health&
well‐being
Construction
PartnersselectedYesYesYesYesAlmostIntheprocess
Company
established
2007200820082008Spring2009~2009
Employees
inthecompany
3full‐time;
1part‐time
program
manager
3full‐time;
4part‐time
program
managers
2full‐time1part‐time
actingCEO
LightLight
Strategicresearch
agenda
YesYesYesYesUnpublishedTobeformulated
Researchpro‐
grams
1funded
1intheprocess
4funded
1intheprocess
000
Plannedresearch
programs
4648NANA
Totalnumberof
programs
61058NANA

ToprovidethecapitalstockforthealreadyoperationalSHOKmanagementcompaniestheinter‐
ested/selectedpartnershaveparticipatedinaninitialdirectedshareoffering.Inadditiontocapital
providedbyshareholders,Tekeshasprovidedfinancialassistanceintheinitialstagesofthemanage‐
mentcompanies.InfullyoperationalSHOKs,therunningcostsofthemanagementcompanies,mostly
salaries,areusuallycoveredbyasmalloverheadfromthefundedresearchprograms,thoughinsome
distinctcasesamembershipfeeiscollectedinsteadofanoverhead.Thecompaniesthemselvesare
fairlysmallwith2‐3full‐timeemployeesandpart‐timemanagersforeachoftheresearchprograms.
EventhelargestSHOKmanagementcompany(TIVIT)hascurrentlyonly3full‐timeemployeesand4
part‐timeprogrammanagers.Figure4depictsthetypicalSHOKorganizationanditsstructure.

Figure4.AnexampleoftheorganizationalstructureofaSHOK

SHOK
AnnualGe neralMeeting
(Shareholders)
Board ofDi recto rs
CEO(+office:CTOandassistant)
Research
programme
Manager
Research
programme
Manager
Research
programme
Manager
Research
programme
Manager
Research
programme
Manager
Rese arch
programme
Manager
R&DCouncil
Chairman:CTO

Source:AdaptedfromFIMECCpresentationmaterial

11
EstablishedSHOKmanagementcompanieshaveusually2to3differenttypesofshareholders,based
onwhichboardrepresentationisallocated.Usuallythetypeofashareholdercandidatedetermines
therequiredinitialinvestment.Theamountofinvestmentusuallyrangesbetween40.000€and
120.000€,andvariesamongSHOKswithuniversities,researchinstitutesandothernon‐corporate
actorsbeinggenerallyrequiredasmallerinvestment.Thecategorizationenablestheparticipationof
organizationsofdifferentsizes.TheboardofatypicalSHOKmanagementcompanyhaspre‐
determinedlyallocated3/4ofavailableseatsforcompanyrepresentativeswhiletheremainderof
seatsisreservedforuniversities,researchinstitutesandotherparticipants.Thestructureisareflec‐
tionofthepurposefullyindustrydominatedpartnerselectionprocess.

Theservicesthemanagementcompaniesprovidefortheirownersarecurrentlyfairlylimitedasthe
focusisonpreparingandinitializingresearchprograms.Inadditiontotheseimmediatetasks,they
arealsocoordinatingtheresearchactivitiesintheSHOKsbybringingtogetherinterestedpartners
andfacilitatingthedynamicrevisionofthestrategicresearchagendas.Furthermore,raisingaware‐
nessoftheSHOKasaconceptamongitsmembersandpotentialnewcandidatesisanongoingactiv‐
ityaswell.Inthefuture,therangeofavailableserviceswillbefurtherextended.Manyoftheman‐
agementcompaniesexpressedtheirintentiontoprovideIPRservicesandtofacilitateinnetworking
inthenationalandinternationalcontexts.WhilealloftheestablishedSHOKsreportafairnumberof
plannedresearchprograms,onlytwoofthemarecoordinatingfundedoperationalprogramsatthe
timeofwritingthisreport.

3.3.Strategicresearchagendaandresearchprograms

Asalreadytoucheduponintheintroduction,shareholdersjointlydesignastrategicresearchagenda
(SRA).TheinitialSRAisusuallylaidoutalreadypriortothefoundationoftherespectivemanagement
companiesandoftendesignedbyacoregroupofparticipantswiththefinalsetofshareholdersoften
beingunknownattheseearlystagesofoperations.Later,SRAswillbeperiodicallyupdatedwithall
shareholderscontributingtoitsplanning.

InlinewiththebasicprinciplesofSHOKsasaninstrumenttointroduceamoredemanddrivenper‐
spectivetoindustry‐academiaco‐operation,industryparticipantshavetakenadominantrolealsoin
theoperationalizationofSRAsintospecificresearchprogramswithacademicparticipantsbeingless
activeingeneral.However,asprofoundscientificexpertiseespeciallyintheareaofveryearlystage
technologiesoftenlocateswithintheacademiaandresearchinstitutes,someSHOKshaveallocated
universitiesandresearchinstitutesmoreresponsibilityinidentifyingrelevantresearchareas.

12
TheintendedlengthforsingleresearchprogramsvariesbetweenSHOKs.Forsometheestimated
lengthvariesbetweenthreeandfiveyears,whileothershavelongerdurationsrangingfromfiveup
totenyears.InafewSHOKS,someoftheresearchwasexpectedtorequireeven20yearsofpre‐
competitivedevelopmentbeforeyieldingtechnologythatcouldbetransferredoutofthepre‐
competitivecontextofSHOKsintothecompetitiverealmofcorporateR&D.Withthatbeingsaid,the
lengthofsingleprogramsislargelydependentontheareaofresearch.Researchinbiotechnology,
forexample,isamorelengthyandunpredictableendeavorthaninICT.Thescientificambitionof
SHOKprogramsandthestageofdevelopmentoftechnologiesthereinarefurthermajorfactorsaf‐
fectingtheexpecteddurationofprograms.Programsaimingatmoreradicalinnovationsandfocus‐
ingoninfantstagetechnologiesrequiresignificantlymoretimethanprogramsdevelopingincre‐
mentalinnovationsforestablishedtechnologies.

PubliccommunicationonSHOKresearchagendashasstressedtheroleofradicalinnovationsasthe
objectiveofSHOKresearchwhilede‐emphasizingtheroleofincrementalinnovations.Theofficial
publiclystatedpurposeofSHOKsisnottosupportconventionalcorporateR&D.Rather,theintention
istoextendresearchendeavorsintoearlier,scientificallymoreambitiousphasesoftechnologyde‐
velopmentthanbeforewhilekeepingstrategiclong‐termneedsoftheindustryasaguidelineinthe
designofagendas.Inthemajorityofinterviews,however,theroleofbasicresearchdidnotemerge
asacrucialfactorimpactingtheresearchagendasofSHOKs.Eitheritsrolewasexplicitlyplayeddown,
oritwasbarelyparalleledwithmoreappliedresearchinitsimportance.Onlyinfewcaseswasthe
roleofbasicresearchemphasizedexplicitly.Thelimitedroleofbasicresearchisalsoevidentinthe
factthatonlyfewintervieweesreferredtotheAcademyofFinlandasasignificantpartnerinthe
preparationandcreationoftherespectiveSHOKsorasadiscussionpartnerinfutureformulationof
researchprograms.

Whendevelopingnewtechnologies,products,andprocesses,theneedfornewbusinessmodels
mightbecomerelevantduetochangese.g.indistributionchannelsandvaluechains.SomeSHOKs
indicatedthatthisisacrucialpartoftheirresearchagenda,whileothersindicatedthatthedevelop‐
mentofnewbusinessmodelsremainstheresponsibilityofsinglecompaniesasthisdimensionis
arguedtobebeyondthepre‐competitivecontextofSHOKs.

3.4.IPRpracticesandchallenges

Asalreadymentionedintheintroduction,SHOKsaimtohaveopenIPRpoliciesintheco‐operation
betweenshareholders.Allparticipants,betheyshareholdersorexternalactors,ofindividualre‐

13
searchprogramsareprovidedwiththerighttouseanyIPRemergingoutoftheprogram’sresearch
world‐wideandacrosstheentirecorporatestructurewithouthavingtoprovidecompensationtothe
originalinventoroftheIPR.TheownershiptotheIPRremainswiththeinventor.Whilebeinginline
withtheconceptofpre‐competitiveco‐operation,thisopennessinIPRguidelinesstillcreatescertain
challengesfordifferentpartners.

OneofthechallengesintroducedbytheopenIPRpoliciesisthepossibilityforfree‐riding,wherea
partnerisonlyinvolvedinprogramstogaintherightstouseemergingIPRwithoutputtingforthac‐
tualresearcheffort.Allintervieweesindicatedthatthischallengewillbetackledbyrequiringallpar‐
ticipantstoinvestsufficientlyintotheprograms,relativetotheirsizeandroleintherespectivere‐
search.

AnotherchallengerelatedtoIPRsistheissueofpromotingnewstart‐upsinSHOKs.Asmentionedin
thebeginningofthispaper,SHOKswerecreatedprimarilytoincreasethevalueadded,andtoim‐
provetheefficiencyofexistingfirmsthroughtheprocessofindustrialrenewalbasedoninnovative
activities.Thisimpliesthat,bydefinition,SHOKsarelessstart‐uporientatedthanmanyotherinnova‐
tionpolicyinstruments.Bethatasitmay,however,thereasonwhythisaspectisbroughtforthhere
isthefactthattheabilityoftechnologybasedstart‐upstoattractexternalcapital,avitalprecondi‐
tionforsurvival,isdependentonhavingastrongIPRposition.Giventheglobal,corporation‐wide
rightstousetheIPRemergingfromresearchprograms,thepossibilitiesforhavingastrongIPRposi‐
tionarefairlylimited.Thisdeterioratesincentivestoestablishnewventuresaimingtoexploiteven‐
tualtechnologicalspilloversfromSHOKresearchthatarenotpursuedfurtherbyexistingpartners.
SomewhatsurprisinglythisaspecthasnotbeenconsideredexplicitlyinalmostanyoftheSHOKs.
Whenaskedtorespondexplicitly,however,manyintervieweescontemplatedthatthismattercould
“surelybeworkedout”shouldaneedoranopportunityforcreatingnewstart‐upsemerge.

Particulartensionsexistalsobetweentheindustryanduniversitiesregardingtheuseofinputand
outputmaterialsofresearchwithinSHOKsandhowdifferentpartiesarecompensatedformaking
inventions.Thelatteraspectisespeciallyrelevantfortopresearcherswhousuallyhavemanyattrac‐
tivealternativechannelsforobtainingresearchfundingandcompensationforinventions.Theseindi‐
vidualsmighthavelowincentivestoengageinSHOKrelatedresearch,becausethefreerightofuse
acrossallparticipantslimitsthepossibilitiesofdesigningattractivecompensationschemes.Thein‐
tervieweeshadverydifferentopinionsregardingthischallenge.Whileothersidentifieditasimpor‐
tant,othershadnotevenconsidereditaproblem.Manyconcededthatthereisasignificantamount
ofmisinformationregardingthematteramongtheinvolvedparties,butwerealsoconfidentthat

14
misunderstandingswilleventuallyclearuponceSHOKsaremoreestablishedanddifferentparties
havemoreexperienceinworkingtogether.

ThefinalchallengerelatedtoIPRsistheexistingandpotentialdifferencesinIPRpracticesbetween
differentSHOKs.TheissueconstitutesaproblemwhendifferentSHOKscometotheconclusionthat
theyhaveacommoninterestinaspecificresearchareawanttocollaborateinajointresearchpro‐
gramorproject.ThedifferencesinIPRpracticeswerementionedbymanyinterviewees.Atthesame
timeitshouldbenotedthatSHOKsarecurrentlymoreconcernedwithmakingsurethattheinitiali‐
zationoftheirownoperationsandresearchprogramsissuccessfulthanthinkingofpossibleprob‐
lemsregardinginter‐SHOKco‐operation.

3.5.TheinteractionbetweenSHOKs

DespitethecurrentpronouncedfocusofSHOKs’ontheirowninternalaffairs,thereisexistingcol‐
laborationbetweenSHOKsonamorestrategiclevel.SHOKshaveajointforesightgroupconsistingof
therespectiveSHOKmanagementteams,whichmeetsregularlytodiscusspotentialareasofcollabo‐
rationandotheraspectsrelatingtopotentialcollaborationondifferentlevelsreducingtheriskof
overlappingprogramsandprojectsamonganumberofotherbenefits.ManySHOKshavealready
identifiedpotentialoverlapareasbetweendifferentSHOKs.ThishasinfluencedinparticularSHOKs
thatarelessestablishedintheiractivities.


4.Conclusions

InadditiontoprovidingabriefbutconcisedescriptionofSHOKsasanewinstrumentinFinnishinno‐
vationpolicy,thisreportsetsouttoinvestigatetheirstateofdevelopmentandorganizationofop‐
erationsalongtheirmostcentraldimensions.Theseincludetheroleofdifferentactorsintheforma‐
tionprocess,theorganisationofSHOKs,thedevelopmentofstrategiclong‐termresearchagendas
andshort‐termresearchprograms,emergingchallengesrelatedtointellectualpropertyrights,and
co‐operationbetweenSHOKs.ThepapercomparesthesedimensionsacrossSHOKsandtriestohigh‐
lightsomepotentialthreatsandopportunitiesthatmightarise.

AstheinitiationofSHOKswasmoreorlesscentrallycoordinatedbygovernmentalagencies,mostly
Tekes,SHOKssharemanyidenticalfeatureswitheachother.Theorganizationalstructures,forex‐

15
ample,arealmostidenticalasaretheguidelinesregulatingtheassignmentofemergingIPRsandthe
relatedrightsofuse.SHOKssharealsothesamebasicunderstandingregardingthemodesofcoop‐
erationbetweenSHOKparticipants,theimportanceofextendingco‐operationbeyonddomestic
borders,andtheobjectivetoproduceradicalratherthanincrementalinnovations.

Ontheotherhand,thefindingsindicateslightdifferencesbetweenSHOKsinsomedimensions.
WhileanumberofindividualSHOKsacknowledgetheimportanceofacademicandresearchinstitute
partnersbyregardingthemimportantSHOKpartnersandincludingtheminthedesignofstrategic
researchagendas,manySHOKshaveimplementedamuchmoreindustry‐drivenapproachrendering
theroleofnon‐corporatepartnerssecondary.ChallengesregardingtheviabilityofestablishedIPR
regimeswerealsofacedwithvaryingdegreesofconcernwithsomeSHOKstakingactivemeasuresto
identifyandavoidconflicts,whileotherswereeitherlessawareofproblemsortrustfulintheemer‐
genceofadhocsolutionsshouldconflictsarise.ConflictsregardingIPRexistespeciallybetweenin‐
dustrialandacademicpartners.

Thefindingslaythebasisforabriefdiscussionofsomeemergingopportunitiesandthreatsregarding
theimpactofSHOKsonabroaderlevel.Clearopportunitiesarisefromthere‐allocationofpublicand
privateresourcesontheidentifiedstrategicsectorsofindustryandacademia.Itisexpectedtoin‐
creasetheeffectivenessofgovernmentalsupport,asresourcesintheselectedsectorsreachlevels
thathaveagreaterpotentialtomakeanoticeableimpact.This,inturn,enablesthechosenstrategic
sectorsoftheindustrytoincreasetheirvalueaddedthroughinnovationand,thereby,improvetheir
productivityandglobalcompetitiveness.Atthesametime,universities,researchinstitutes,and
otheractorslinkedtothesesectorsgainadditionalresources,andareabletoraisethelevelofscien‐
tificambitionandrelevanceofresearch.

Incontrasttoallocationstrategiesbasedonpoliticallychargedagendas,SHOKsenabletheallocation
ofresourcesonthebasisofexpectedeconomicandsocietalimpact,corporatestrategies,andthe
existingknowledgebase.Furthermore,asparticipantsarerequiredtomakesignificantinvestments
intoSHOKs,theyareexpectedtohavethenecessaryincentivestocommittoandtakeresponsibility
inthesuccessandimpactthereof.

Achievingacriticalmassisnotlimitedtothepoolingoffinancialresourcesalone.Throughintensive,
institutionalized,andstronglyinterdisciplinaryco‐operationbetweenpreviouslyisolatedparties,
SHOKparticipantsareabletotapintoasharedpoolofknowledge,acriticalmassofexpertise,that
potentiallyleadstoentirelynewapproachesinresearchenablingtheemergenceof(i)radicalinnova‐

16
tions,(ii)anincreaseinthequalityofresearch,and(iii)afurtherreinforcementofthestronginterac‐
tionbetweencentralknowledgeproducers(academia)anditsusers(industry).Suchintegratedco‐
operationimplicitlyemphasizesapplication‐ andproblem‐drivenmodesofresearchthataremore
potentinspawningcompetitivelyrelevanttechnologythanisresearchconductedwithintheconfines
ofsinglescientificdisciplines.

ThepotentialthreatsandchallengesthatmightemergewiththeintroductionsofSHOKsarerelated
totheabilityofcompaniestoopenuptheirinnovativeactivities,theircommitmenttolong‐term
research,challengesincollaboratingwithexternalpartners(universitiesinparticular),IPRissues,the
grayareabetweenpre‐competitiveandcompetitiveresearch,andthepotentialstrengtheningof
existingindustrialsectorsattheexpenseofnewemergingindustries.

Oneofthekeytasksandpotentialchallengesistomotivatethecompaniestoopenuptheirinnova‐
tiveactivitiesandtocreateanatmosphereoftrustandcollaboration.InsomeSHOKsthisopenness
hasalreadybeenapractice,whileforothersthisrequiressignificantchangesinattitudestowards
collaborationandsharingknowledgeevenwithcompetitors.Culturaltraditionsaredifficulttobreak
andwillrequirelengthysustainedeffortsanddeterminationonseverallevelsincompanies.

AsSHOKsareindustry‐drivenandaimtopromotelong‐termresearch,thereisapotentialriskthat
companiesexposedtothedemandsofthe‘quartile‐economy’aremoreinterestedinshort‐term
solutionsratherthaninvestinginriskylong‐termresearch.Thismightmanifestasshort‐sightedde‐
signsofresearchagendasbasedontheseshort‐termcorporateobjectives.Thisalsorelatestothe
currentfinancialcrisis,whichmightstifleenthusiasmtoengageincompletelynewtypeofco‐
operation.

Relatedtotheco‐operationbetweencompaniesanduniversities,theincentivesfortopresearchers
toparticipateinSHOKresearchmightbelowerthanexpected,asthepotentialreturnsfromother
typesofindustrysponsoredprojectsoutsideSHOKsaremuchhigher.Theseindividualsneedtoiden‐
tifysomenon‐monetaryincentivesinparticipatingintheSHOKcollaborations.

WithrespecttoIPRpoliciesinSHOKS,theunrestrictedrighttouseinventionsandothermaterials
resultingfromSHOKresearchprogramsmightbeseenasapotentialthreatforuniversities’precondi‐
tionstoconductresearchoutsidethecontextofSHOKs.Whetherthiswilltranslateintoatangible
problemisanissuethatwillnotfindanswersbeforemorepracticalexperienceofactualoperations
hasbeengained.Thisalsorelatestotheemergenceofspin‐offcompaniesfromuniversities,because

17
theIPRpositionofnewstart‐upsmightbetooweaktoattractexternalfinancing.Fromasocialwel‐
fareperspectiveitwouldberecommendablethatpracticesbedesignedfortheseeventualitiesto
avoidforegoingtheopportunitytodeveloppotentiallyvaluableapplications.

RelatedtothenumberofpartnersineachSHOK,thereisariskthatanoversizedbaseofpartners
mightjeopardizetheefficiencyofdecision‐making,andresultininefficientcompromisesintheallo‐
cationofresourcesandinthequalityofresearch.Furthermore,thismightdilutetheconceptofex‐
cellencesoughtafterbytheSHOKconcept.

ItalsoseemsthatsomeSHOKsaremoreconfinedtotheirpre‐existingindustrystructurethanothers.
Thispotentiallyreinforcestheexistingindustrialstructure,whichmightpreventnewpotentialindus‐
triestoemergeandgainsufficientpublicsupport.Thatbeingsaid,someSHOKshaveadoptedamore
openpolicybyincludingawiderangeofpartnerssharingavision,accordingtowhichtheircollabora‐
tionproducesnewandinnovativeapplications.

Asafinalnote,itshouldbestatedthatthereexistsaclearlackandfragmentationofinformation
aboutSHOKsaswellastheirfutureroleintheFinnishinnovationsystem.Thislackandfragmentation
concernsactorsbothintheprivateandthepublicsectors.



18
APPENDIXI–Shareholders(Health&well‐beingandConstructionareyettobeestablished)

ForestTIVITFIMECC
(Researchcouncil)
Cleen
CompaniesStoraEnso
UPM
Metsäliitto‐group
Myllykoski
Metso
Kemira
CibaFinland
Andritz
Tamfelt



CSC—ITCenterforScience
Digita
ElektrobitTechnologies
Elisa
Inno‐W
JyväskylänTurbiini
LMEricsson
NetHawk
Nokia
NokiaSiemensNetworks
Okmetic
Plenware
Prizztech
Stonesoft
Technopolis
TeliaSoneraFinland
VTITechnologies
ABB
Andritz
BolidenKokkola
Cargotec
Finn‐Power
KONE
Konecranes
Kumera
Metso
Outokumpu
Outotec
Rautaruukki
Raute
STXEurope
TietoEnatorGMR
ABB
ÅF‐Consult
Andritz
Ekokem
FCGPlaneko
Fortum
FosterWheelerEnergia
Gasum
HelsinginEnergia
Hollming
Kemira
Kumera
Kuusakoski
Lassila&Tikanoja
Metso
NesteOil
Outokumpu
Outotec
PohjolanVoima
Rautaruukki
StoraEnso
TheSwitchEngineering
UPM‐Kymmene
Vaisala
VantaanEnergia
Vapo
VattenfallVerkko
WärtsiläFinland
Universities
&poly‐
tech’s
LappeenrantaUniv.ofTech.
HelsinkiUniv.ofTech.
ÅboAkademi
UniversityofJyväskylä

HelsinkiUniv.ofTechnology
HelsinkiSchoolofEconomics
HelsinkiUniversity
JoensuuUniversity
JyväskyläUniversity
OuluUniversity
TampereTechnicalUniversity
TampereUniversity
UniversityofArtandDesign
ÅboAkademi
Arcada(Polytech)
Cent.Ostrobothnia(Polytech)
Metropolia(Polytech)
Laurea(Polytech)
Mikkeli(Polytech)

HelsinkiSchoolofEconomics
HelsinkiUniv.ofTechnology
LappeenrantaUniv.ofTech.
Hanken
TampereUniv.ofTechnology
UniversityofArtandDesign
UniversityofJyväskylä
UniversityofOulu
UniversityofVaasa
ÅboAkademi
Laurea(Polytech)
Metropolia(Polytech)

HelsinkiUniversity
HelsinkiUniv.OfTechnology
JoensuuUniversity
LappeenrantaUniv.ofTech.
TampereUniv.ofTechnology
UniversityofVaasa
UniversityofJyväskylä
UniversityofKuopio
UniversityofOulu
ÅboAkademi
Research
institutes
VTT
Metla
VTT

VTTVTT
Metla
Other Culminatum
Helsinki‐RegionCentreof
Expertise
TechnopolisVentures
TeknologiakeskusHermia
TheNetworkforIntelligent
Transport‐ITSFinland
TIEKE–theFinnishInformation
SocietyDevelopmentCentre
TurkuSciencePark
Viestinnänkeskusliitto
TechnologyCentreHermia

Finland’senvironmental
administration
FinnishMeteorologicalInstitute
MIKES

19
APPENDIXII‐Compositionoftheboard(Health&well‐beingandconstructionareyettobeestab‐
lished)

ForestTIVITFIMECCCleen
CompaniesAndritz
CibaFinland
Kemira
Metsäliitto‐group
Metso
Myllykoski
StoraEnso
Tamfelt
UPM
Elisa
Ericsson
Nokia
NokiaSiemensNetworks
TeliaSonera
VTITechnologies


Cargotec
Finn‐Power
Kone
Konecranes
Metso
Rautaruukki
STXEurope

ABB
Fortum
HelsinginEnergia
Kuusakoski
Metso
NesteOil
Wärtsilä
Universities
&
polytech’s
OnejointseatHelsinkiUniv.ofTechnology
TampereUniv.ofTechnology
TampereUniv.ofTechnologyÅboAkademi
Research
institutes
VTT
Metla
VTTVTTVTT
Other Hermia
Technopolis

