Presentation about Wallonia's experience in evaluating cluster policy, in the framework of the US-UE cluster workshop held in Boston and Washington in November (17th-19th) 2015.

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Evaluation of the Cluster policy in
Wallonia
United States – European Union Workshop on Clusters
November 17-19, 2015
Boston, Massachusetts and Washington, D.C.
Florence HENNART

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Agenda
• Background elements
• Challenges in evaluation of clusters policies
• Experience so far in Wallonia
• Perspectives

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Competitiveness Pole Policy : a renewed industrial policy at
the core of our regional development strategy
Collaboration and critical
mass at the regional level,
virtuous growth circle,
Global competitiveness
Training
centers
Research
units
Enterprises
Policy mix : support to
R&D&I, investment,
training, internationalisation,
networking & animation
Key sectors : Aerospace, Transport and logistics,
Life science and health, Agro-food, Mechanical
Engineering, Green chemistry

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Challenges
Limits/
complexity
Multiple policy
levers
Multiple
objectives
Multiple
stakeholders
Timeline / Long
term goals
Various
sectoral
contexts
Micro vs macro
effects
Collecting
reliable and
relevant data
Evolutive policy
Approach focused
On evaluating policy
delivery and results
for beneficiaries
Mixing data sources
and approaches
Causal effects ?

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Building a coherent monitoring and evaluation system :
a continuous process
Monitoring
data
Data about clusters
members, projects,
budgets
Activity and results
indicators
External
views
Independant jury
External evaluation
Analyzing
quantitative data +
Qualitative data :
interviews, case
studies,…
Evaluation
results
Cluster activity
analysis
Policy tools analysis
Cluster policy
analysis
Context
analysis
Socio-economic
indicators
European Cluster
observatory /
international
positioning
Value chain
analysis
Government : Policy orientation

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Exemples of used indicators
• Number of cluster member, by type
• Employment, R&D employment
• Turnover
• Private financing of the cluster
Perimeter
• Number of projects, partners, budgets,…
• Collaboration contracts with international
industrial partner
• Number of European projects
Activity
• Creation of enterprises, jobs
• Patents, licenses
• New commercialized products / services
Results and
impacts

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Main external evaluation conclusions
(Technopolis, 2014)
Relevance of the policy and effectiveness of the processes, notably in a
smart specialization perspective
Synergies with broader ecosystem to develop
Positive effects on networking, cross-sector collaboration, R&D,
international activities and SME involvement – behavioral innovation
effects on SMEs
Some positive results in meeting training needs
Enhanced focus needed on commercialization of results. Projects too
focused on R&D, growth and jobs impacts still to be demonstrated.
Risk of drying up of projects
Monitoring system to improve for a more strategic piloting of the policy

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Policy implications
Cluster policy will be pursued as core axis of our regional development
strategy / smart specialization strategy
Improving coherence of policy mix – synergies with other policy tools
Synergies with European programs
Stronger focus on commercialization and industrial projects. Link with
financial instruments.
Stronger focus on cross-cluster collaboration, innovation and entrepreneurial
dynamics within the Clusters
New policy focuses : creativity, business innovation, ICT, circular economy &
resource efficiency
New information system in development
Exploring value chains analysis

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International positioning of clusters : Indicator of regional
potential
• Size
• Specialisation
• Focus
European Cluster
observatory (1)
• Regional innovation Index
Regional Innovation
scoreboard
• Employment weighted by share
of export
Export
International Cluster
Competitiveness Project,
HBS
• Gini Index
Geographical
concentration
To be explored : updating analysis
with European Cluster Observatory (2) data

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Wallonia positioning among 192 EU Regions
Sector Potential Dimension Rank Stars
Pharmaceuticals 0,97 Global 8 2
Heavy Machinery 0,75 Global
vocation
21 1
Aerospace 0,67 European 30 1
Building fixtures, equipment and services 0,66 European 60 0
Business services 1,01 European 50 1
Chemical products 0,74 European 22 1
Construction 0,95 European 34 1
Education and knowledge creation 0,82 Européen 31 1
Entertainment 0,64 European 39 0
Metal manufacturing 0,92 European 31 1
Plastics 0,59 European 53 0
Telecom 0,63 European 67 0
Transportation and logistics 0,86 European 48 1
Agricultural products 0,57 Regional 72 0
Distribution 0,59 Regional 73 0
Financial services 0,77 Regional 80 1
Media and publishing 0,57 Regional 106 0
Paper products 0,55 Regional 94 0
Processed food 0,84 Regional 50 0
Production technology 0,62 Regional 61 0
Automotive 0,55 95 0
Tourism and hospitality 0,51 162 0

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The way forward in monitoring and evaluation :
developping an appropriate information system
• Database mixing monitoring data with official data
(entreprises)
• More reliable information
• Reducing administrative burden
• Basis for improved policy piloting
• And for more accurate quantitative evaluation methods
?
• Causal analysis, link with macro-economic evolutions ?
• Transcend sector boundaries ?

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The way forward in monitoring and evaluation : value
chains analysis
2012
• Analysis of industrial value chains in Wallonia (IDEA Consult)
• New methodology building on regional Input/Output data
• Transversal analysis + sector case studies
2014
• Exploring cross-sector linkages between creative and cultural
industries and traditional industry sectors
• I/O analysis + quantitative and qualitative analysis in Clusters
2015
• Case study on pharmaceutical sector
• I/O methodology + macro/micro data
• European Cluster Observatory analysis of Biopharmaceuticals
2016-…
• Analyzing evolution in value chains in Wallonia
• Developing new sector studies in linkage with cluster strategies
• Use of European Cluster observatory

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Value Chain indicators
Performance indicators Internationalisation indicators
Direct GVA rate Index of relative dependence on international imports
Indirect GVA rate Index of relative dependence on international exports
Total direct plus indirect GVA rate Index of relative international exposure
Backwards linkages indicators Forward linkages indicators
Index of relative dependence on intra-industry inputs
Index of relative orientation to intra-regional intermediate
consumption
Index of relative dependence on intra-region, intra-industry inputs
Index of relative orientation of intra-regional demand to
intermediate consumption
Index of relative dependence on extra-regional market services
Index of relative orientation to medium-high and high-
technology intra-regional demand
Index of relative dependence on intra-regional market services
Index of relative orientation to knowledge intensive intra-
regional market demand
Index of relative dependence on market services
Index of relative orientation to technology and knowledge
intensive intra-regional market demand
Index of relative dependence on high-technology inputs
Index of relative average GVA rate of intra-regional market
demand (branches)
Index of relative dependence on knowledge intensive services
Index of relative dependence on high-technology and knowledge
intensive services
Index of relative average GVA rate of intra-regional inputs

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Thanks for your attention !
http://economie.wallonie.be
florence.hennart@spw.wallonie.be