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Innovation Development Programmes for the State-owned Companies: First Results

Author

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  • Mikhail Gershman

    (Institute for Statistical Studies and Economics of Knowledge, National Research University Higher School of Economics)

Abstract

Enhancing innovation performance in the industrial sector of the Russian economy is a long overdue. Since 2010 the government has conducted a kind of «incumbent» policy approach, encouraging mainly the largest state-owned companies. The latter are obliged to elaborate and implement innovation development programmes (IDPs) in order to accelerate modernization of the Russian economy and increase demand for innovation. This paper analyzes the results of the monitoring of STI activities undertaken by the state-owned companies in relation to implementation of innovative development programmes. It evaluates the interim results of government initiatives to foster innovation in the related business segment, notes the negative effects of excessive «compulsion» to innovate and provides recommendations for improving policy. Monitoring shows that the actual priority for most companies is modernization of fixed assets through acquisition of modern machinery and equipment. Technology adoption, along with R&D investments, significantly surpasses other possible mechanisms encouraging innovative development (including support for small and medium-sized enterprises (SMEs), education and training in innovation, co-operation with other actors in the framework of technology platforms, venture funding). The innovation outputs of the surveyed group of companies are in fact comparable to the Russian average although monitoring does not allow the assessment of corporate patent strategies or the novelty of innovative products that are produced and exported. The author argues that the fundamental policy effect through organizational changes and investments may manifest itself in the next decade. However, the quality of the corporate management, employee loyalty to structural change and organisational culture that supports innovation, would likely be more important in enhancing overall performance. Policy recommendations include: differentiation of government incentives according to the companies’ specificities, development of their external linkages with SMEs and universities, linking innovation strategies to corporate policies, and integration of IDPs into the roadmaps of technological development of Russian regions and markets. Note: Downloadable document is in Russian.

Suggested Citation

  • Mikhail Gershman, 2013. "Innovation Development Programmes for the State-owned Companies: First Results," Foresight and STI Governance (Foresight-Russia till No. 3/2015), National Research University Higher School of Economics, vol. 7(1), pages 28-43.
    • Handle: RePEc:hig:fsight:v:7:y:2013:i:1:p:28-43
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    References listed on IDEAS

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    6. World Bank, 2010. "Innovation Policy : A Guide for Developing Countries," World Bank Publications - Books, The World Bank Group, number 2460, December.
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    Citations

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    Cited by:

    1. Gershman, Mikhail & Bredikhin, Sergey & Vishnevskiy, Konstantin, 2016. "The role of corporate foresight and technology roadmapping in companies' innovation development: The case of Russian state-owned enterprises," Technological Forecasting and Social Change, Elsevier, vol. 110(C), pages 187-195.
    2. Lilas Demmou & Andreas Wörgötter, 2015. "Boosting Productivity in Russia: Skills, Education and Innovation," OECD Economics Department Working Papers 1189, OECD Publishing.
    3. Orzu Osmanovna Yushkova & Lyudmila Sergeevna Kirina & Nina Ilinishna Malis & Olga Valentinovna Mandroshchenko & Natalya Aleksandrovna Nazarova, 2018. "The balance of the budget system, as well as the reality of economy development planning contribute to the sustainable socio-economic development of the state. By achieving a balanced budget system is," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 675-685.
    4. Evgeniy Kutsenko, 2015. "Pilot Innovative Territorial Clusters in Russia: A Sustainable Development Mode," Foresight and STI Governance (Foresight-Russia till No. 3/2015), National Research University Higher School of Economics, vol. 9(1), pages 32-55.
    5. Mikhail Kuzyk & Anna Grebenyuk & Evgenia Kakaeva & Evgeniy Manchenko & Vladimir Dovgiy, 2017. "What Prevents Universities from the Involvement into the Creating Dual Technologies?," Foresight and STI Governance (Foresight-Russia till No. 3/2015), National Research University Higher School of Economics, vol. 11(4), pages 84-95.
    6. Olli-Pekka Hilmola & Andres Tolli & Yulia Panova, 2019. "Global Corporations And Smaller Actors In Textile Business: European Perspective," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(1), pages 216-230.
    7. Liliana Proskuryakova & Dirk Meissner & Pavel Rudnik, 2017. "The use of technology platforms as a policy tool to address research challenges and technology transfer," The Journal of Technology Transfer, Springer, vol. 42(1), pages 206-227, February.
    8. Mikhail A. Gershman & Galina A. Kitova, 2016. "Evaluation of Research and Innovation Policies: The Case of Russian Universities," HSE Working papers WP BRP 57/STI/2016, National Research University Higher School of Economics.

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    More about this item

    Keywords

    innovation performance; innovative development programme; state-owned company; coercion to innovation;
    All these keywords.

    JEL classification:

    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy
    • O39 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Other

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