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Innovativeness of the Netherlands
relative to EU countries
Authors:
Jan van den Ende
Professor of Innovation and Technology
Management
Rotterdam School of Management
Erasmus University
jende@rsm.nl
Sandra Čerkauskaitė
Research assistant
Rotterdam School of Management
Erasmus University
Rotterdam, the Netherlands, 14 July 2016
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
2
Table of Contents
Executive Summary............................................................................................................................................ 3
Methodology...................................................................................................................................................... 5
Summary Innovation Index................................................................................................................................ 6
New doctorate graduates .................................................................................................................................. 7
Population with tertiary education.................................................................................................................... 8
Youth with at least upper secondary education................................................................................................ 9
International scientific co-publications............................................................................................................ 10
Top 10% most cited scientific publications...................................................................................................... 11
Non-EU doctorate students ............................................................................................................................. 12
R&D expenditure in the public sector.............................................................................................................. 13
Venture capital investments............................................................................................................................ 14
R&D expenditure in the business sector.......................................................................................................... 15
Non-R&D innovation expenditure ................................................................................................................... 16
SMEs innovating in-house................................................................................................................................ 17
Innovative SMEs collaborating with others ..................................................................................................... 18
Public-private co-publications.......................................................................................................................... 19
PCT patent applications ................................................................................................................................... 20
PCT patent application in societal challenges.................................................................................................. 21
Community trademarks ................................................................................................................................... 22
Community designs.......................................................................................................................................... 23
SMEs with product or process innovations...................................................................................................... 24
SMEs with marketing or organisational innovations ....................................................................................... 25
Employment in knowledge-intensive activities ............................................................................................... 26
Medium and high-tech product exports.......................................................................................................... 27
Knowledge-intensive services exports............................................................................................................. 28
Sales of new-to-market and new-to-firm innovations..................................................................................... 29
License and patent revenues from abroad...................................................................................................... 30
Appendix. Overview of indicators: EU measurement framework ................................................................... 31
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
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Executive Summary
The report compares the Netherlands scores on indicators of innovativeness from the European Innovation
Scoreboard with the EU average scores over the period 2005-2016. We analyzed systematic out- and
underperformance of the Netherlands, and trends.
The conclusion is that over the whole period the Netherlands has been strong in enablers for innovation,
particularly in knowledge production and public support, and in research collaboration between public
research institutes and the private sector. The country outperforms the EU average by far on highly cited
publications and on international scientific co-publications. In this period, the Netherlands has further
strengthened public support in R&D, and has improved the availability of venture capital relative to the EU.
A relative weakness of the Netherlands has always been the conversion of knowledge into successful
innovations in the market, but it now appears that the Netherlands is doing better in this area than
previously concluded. Particularly, more small and medium-sized enterprises (SMEs) indicate to be
engaged in innovation. As a result of improvements, the overall score of the Netherlands has improved
relative to the EU over the period 2005-2016.
The results mentioned above involve that firms in the Netherlands show better innovation management,
converting knowledge inputs more effectively into innovation outputs than reported in the past. Since the
Netherlands remains weak on some output indicators, further improvement in innovation management is
required.
Summary of indicators
A significant positive trend of the Netherlands compared to the EU average is seen in:
- Overall: Summary Innovation Index
- Enablers
o Non-EU doctorate students1
;
o R&D expenditures in the public sector;
o Venture capital investments;
- Firm activities
o SMEs innovating in-house;
- Outputs
o SMEs with product and process innovations;
1
Due to the lack of data the trend should be interpreted cautiously.
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
4
o SMEs with marketing or organisational innovations;
A significant negative trend is seen in:
- Firm activities
o Public-private co-publications;
o Community designs;
Systematic outperformance of the Netherlands compared to the EU average is seen in:
- Overall: Summary Innovation Index
- Enablers
o New doctorate graduates;
o Tertiary education;
o International scientific co-publications;
o Top 10% most cited scientific publications;
o R&D expenditure in the public sector;
- Firm activities
o Innovative SMEs collaborating with others;
o Public-private co-publications;
o PCT patent applications;
o PCT patent applications in societal challenges;
o Community trademarks;
- Outputs
o Employment in knowledge intensive activities;
o License and patent revenues from abroad;
On the other hand, systematic underperformance is seen in:
- Enablers
o Youth with at least upper secondary education;
- Firm activities:
o R&D expenditures in the business sector;
- Outputs
o SMEs with marketing or organizational innovations
o Medium high-tech product exports;
o Sales of new to market and new to firm innovations.
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
5
Methodology
We used data from the European Innovation Scoreboard from the Netherlands and the EU average of the
period 2005-2016. We attained the relative score of the Netherlands on an indicator by dividing the score of
the Netherlands by the EU average score. Systematic outperformance and underperformance of the
Netherlands compared to EU was concluded from comparison of the data over the studied period. Using
regression analyses we computed trendlines per indicator for the Netherlands and for the EU, and the
trends for the Netherlands relative to the EU. In view of the low number of observations (years), we used p
< 0,10 as criterion for significance.
The trends on the indicators of firm activities and outputs relative to the EU should be interpreted with
caution because of a change from hardcopy to online surveying in the underlying Community Innovation
Survey by the CBS, which becomes evident in the figures for 2013 onwards. Due to the lay-out of the former
hardcopy questionnaire, underscoring of certain questions seems plausible2
. As a consequence of response-
based structuring of the online survey, the accuracy of the figures is improved since the scoreboard of 2013.
The data of the Summary Innovation Index are from the European Innovation Scoreboard of 2015.
Reading guide: The years in the charts are the publication dates of the European Innovation Scoreboard
reports. The underlying data are usually from the previous year and for some indicators from 2-3 years
before the publication dates.
For this report, data were used from the European Innovation Scoreboard, European Commission, prepared
by Merit, Maastricht, the Netherlands. We thank Hugo Hollanders from Merit for his kind co-operation.
2
CBS, CIS 2008-2010.
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
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Summary Innovation Index
The Summary Innovation Index summarizes the range of different indicators of innovation and
measures the innovation performance. The summary innovation index of the Netherlands was higher
than the EU average over the whole period. In 2005 it was 14% higher than EU average; however, in
2009 it was higher only by 3% than EU average. After 2009, the score of the Netherlands on the index
increased systematically and in 2015 it was 17% higher than the EU average.
The trends for both the Netherlands and the EU are positive and significant. The score of the
Netherlands increases 3.7% on average per year, while the score of the EU increases 2.5% on average
per year. The increase of the score of the Netherlands relative to the EU is positive and significant (p-
value 0.04).
0,00
0,10
0,20
0,30
0,40
0,50
0,60
0,70
2005 2006 2007 2008 2009 2010 2011 2013 2014 2015
Summary Innovation Index
Summary Innovation Index NL Summary Innovation Index EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
7
New doctorate graduates
The indicator presents new doctorate graduates per 1000 population aged 25-34. The score of the indicator
for the Netherlands has been increasing during the years and always remained higher than the EU average.
In 2010 it was 1.6 which was 14% higher than the EU score and in 2016 the indicator score was 2.2, which
was 20% higher than EU score.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 4.9% on average per year, while the score of the EU increases 4.6% on average per year. There is
no significant increase or decrease of the score of the Netherlands relative to the EU.
0,00
0,50
1,00
1,50
2,00
2,50
2010 2011 2013 2014 2015 2016
New doctorate graduates
New doctorate graduates NL New doctorate graduates EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
8
Population with tertiary education
Tertiary education refers to the percentage of the population aged 25-64 (for years 2005-2009) or 30-34
(for years 2010-2015) having completed tertiary education. The population with tertiary education in the
Netherlands has always been higher than the EU average. In 2005 the score of the indicator was 27.55 and
it was 26 % higher that the EU average. From 2009 onwards the tertiary education remained higher than
the EU average but has been decreasing constantly during the years (in 2009 and 2015 it was higher than
the EU average by 32% and 17% respectively). In 2016 the score of indicator is 46.40, which is 21% higher
than the EU average.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 4.7% on average per year, while the score of the EU increases 4.9% on average per year. There is
no significant increase or decrease of the score of the Netherlands relative to the EU.
0,00
5,00
10,00
15,00
20,00
25,00
30,00
35,00
40,00
45,00
50,00
2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016
Population with tertiary education
Population with tertiary education NL
Population with tertiary education EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
9
Youth with at least upper secondary education
The percentage of population aged 20-24 which have attained at least upper secondary education. Youth
education attainment level of the Netherlands has been lower than the EU average by 2-3% (apart from
2006 when it was equal) during the years. In 2016 the score is 79.8 and it is 3% lower than the EU average.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 0.6% on average per year, while the score of the EU increases 0.7% on average per year. There is
no significant increase or decrease of the score of the Netherlands relative to the EU.
70,00
72,00
74,00
76,00
78,00
80,00
82,00
84,00
2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016
Youth with at least upper secondary
education
Youth with at least upper secondary education NL
Youth with at least upper secondary education EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
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International scientific co-publications
The indicator is a proxy for quality of scientific research and is measured by the international scientific co-
publications per million population. During the 5 year period, the score of the indicator for the Netherlands
has been increasing steadily. In 2010 the score was 1059 and in 2015 it was 1524. Also, the international
scientific co-publications score has always been higher for the Netherlands compared to the EU average.
The score was 4 and 4.2 times higher than the EU average in 2010 and 2015 respectively. However, in 2016
the score has decresed to 1449 but still remains 3.2 times higher than the EU average.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 5.3% on average per year, while the score of the EU increases 7.6% on average per year. There is
no significant increase or decrease of the score of the Netherlands relative to the EU.
0,00
200,00
400,00
600,00
800,00
1000,00
1200,00
1400,00
1600,00
1800,00
2010 2011 2013 2014 2015 2016
International scientific co-publications
International scientific co-publications NL
International scientific co-publications EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
11
Top 10% most cited scientific publications
The indicator captures the scientific publications among the top 10% most cited publications worldwide as
percentage of total scientific publications of the country. The indicator’s score for the Netherlands has been
higher than the EU average by approximately 40% from 2011 to 2016.
There are no significant trends for either the Netherlands or the EU, nor is there a significant increase or
decrease of the score of the Netherlands relative to the EU.
0,00
2,00
4,00
6,00
8,00
10,00
12,00
14,00
16,00
18,00
2010 2011 2013 2014 2015 2016
Top 10% most cited scientific
publications
Top 10% most cited scientific publications NL
Top 10% most cited scientific publications EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
12
Non-EU doctorate students
The indicator represents Non-EU doctorate students as a percentage of all doctorate students. The
Netherlands’ score was lower than the EU average in 2014 and 2015. In 2014 it accounted for 86% and in
2015 to 96% of EU average. In 2016, the score exceeds the EU average by 9%.
There are no significant trends for either the Netherlands or the EU. Nevertheless is the score of the
Netherlands relative to the EU is positive and significant (p-value 0.03). However, the number of
observations is low and there was a change in data source in 2016; therefore this result should be
interpreted cautiously.
0,00
5,00
10,00
15,00
20,00
25,00
30,00
2014 2015 2016
Non-EU doctorate students
Non-EU doctorate students NL Non-EU doctorate students EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
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R&D expenditure in the public sector
R&D expenditures in the public sector measured as a percentage of GDP of the Netherlands have always
been higher than the EU average. The score remained stable during the period between 2010 and 2013.
The expenditures exceeded The EU average by 28% during these years. The slight drop of the score was
seen the following two years. However, in 2016 the score of the indicator is 0.87, which is 21% higher than
the EU average.
The trends for the Netherlands is positive. The score of the Netherlands increases 2,2% on average per year.
There is no significant trend for the score of the EU. The increase of the score of the Netherlands relative to
the EU is positive and significant (p-value 0.04).
0,00
0,20
0,40
0,60
0,80
1,00
1,20
2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016
R&D expenditure in the public sector
R&D expenditure in the public sector NL
R&D expenditure in the public sector EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
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Venture capital investments
Venture capital investment represents early stage and expansion and replacement capital for firms. The
Netherlands accounted for 69% of the EU average for venture capital investments in 2008. Due to the
steady growth of the score the EU average was reached in 2010. From 2010 the score has been steadily
rising and exceeded the EU average venture capital investment by 10% in 2015. In 2016 the score has
increased from 0.07 to 0.1, leading to outperformance of the EU average by 53%.
The trends for both the Netherlands and the EU are negative and significant. The score of the Netherlands
decreases 3.8% on average per year, while the score of the EU decreases 11.2% on average per year. The
score of the Netherlands decreases significantly less than the score of the EU (p-value 0.003).
0,00
0,02
0,04
0,06
0,08
0,10
0,12
0,14
0,16
0,18
2008 2009 2010 2011 2013 2014 2015 2016
Venture capital investments
Venture capital investments NL Venture capital investments EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
15
R&D expenditure in the business sector
R&D expenditure in the business sector represents the creation of new knowledge within firms. For the
Netherlands, it has always been lower than the EU average. In 2005 the score of the indicator accounted for
80% of the EU average. During the period from 2009 to 2013 it represented 70-74% of the EU average. After
the sudden increase, the score has been slightly decreasing from 1.22 to 1.11 in 2014 and 2016 respectively.
In 2016 the score accounts for 85% of The EU average.
There is no significant trend for the Netherlands, while the score of the EU increases 1.3% on average per
year. There is no significant increase of decrease of the score of the Netherlands relative to the EU.
0,00
0,20
0,40
0,60
0,80
1,00
1,20
1,40
2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016
R&D expenditure in the business
sector
R&D expenditure in the business sector NL
R&D expenditure in the business sector EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
16
Non-R&D innovation expenditure
Non-R&D innovation expenditure is measured as a percentage of total turnovers. Examples of such
expenditure are an investment in equipment and machinery and the acquisition of patents and licenses.
The gradual increase in non-R&D innovation expenditure in the Netherlands has been seen in the period
from 2008 to 2013. In 2008 and 2010 it accounted for only 28% and 73% of the EU average, and in 2013 it
exceeded the EU average by 9%. However, the score of indicator dropped suddenly to 26% of the European
average in 2015.
There is no significant trend for the Netherlands, while the score of the EU decreases 5.9% on average per
year. There is no significant increase or decrease of the score of the Netherlands relative to the EU.
0,00
0,20
0,40
0,60
0,80
1,00
1,20
2008 2010 2013 2015
Non-R&D innovation expenditure
Non-R&D innovation expenditure NL
Non-R&D innovation expenditure EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
17
SMEs innovating in-house
This indicator measures the degree to which SMEs that have introduced any new or significantly improved
products or production processes have innovated in-house. The score of the indicator for the Netherlands
had been below the EU average from 2007 to 2010. However, it was increasing gradually. In 2013 it
exceeded the EU average by 23%. Later, the EU average was exceeded by 36% in 2015.
The trends for the Netherlands is positive and significant. The score of the Netherlands increases 6.0% on
average per year. There is no significant trend for the EU. The score of the Netherlands increases
significantly relative to the EU (p-value 0.003).
0,00
5,00
10,00
15,00
20,00
25,00
30,00
35,00
40,00
45,00
2006 2007 2008 2010 2013 2015
SMEs innovating in-house
SMEs innovating in-house NL SMEs innovating in-house EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
18
Innovative SMEs collaborating with others
The indicator of innovative SMEs collaborating with others represents the degree to which SMEs are co-
operating with others in order to innovate. It measures the flow of knowledge between public research
institutions and firms and between firms and other firms. The Netherlands has been exceeding the EU
average of innovative SMEs collaborating with others during the past years. In 2008 and 2013 it exceeded
the EU average by 30%, whereas in 2015 it surpassed the EU average by 40%.
The trends for the Netherlands is positive and significant. The score of the Netherlands increases 2.4% on
average per year. There is no significant trend for the EU. The score of the Netherlands does not increase or
decrease significantly relative to the EU.
0,00
2,00
4,00
6,00
8,00
10,00
12,00
14,00
16,00
2008 2010 2013 2015
Innovative SMEs collaborating with
others
Innovative SMEs collaborating with others NL
Innovative SMEs collaborating with others EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
19
Public-private co-publications
The public-private co-publications represent the active collaboration activities and cooperating research
between business sector researchers and public sector researchers leading to academic publications. It is
remarkable that the Netherlands’ score for public and private co-publications has always been exceeding
the EU average by at least 2.4 times. It was 2.66 and 2.38 times higher than the EU average in 2008 and
2015 respectively.
There are no significant trends for either the Netherlands or the EU, nor does the score of the Netherlands
increase or decrease significantly relative to the EU.
0,00
20,00
40,00
60,00
80,00
100,00
120,00
140,00
2008 2010 2013 2015
Public-private co-publications
Public-private co-publications NL
Public-private co-publications EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
20
PCT patent applications
The indicator presents PCT patent applications per billion GDP. The score of PCT patent applications for the
Netherlands has been always exceeding the EU average by 60% (with an exception for the year 2014, when
the score was 40% higher than the EU average).
The trends for the Netherlands is negative and significant. The score of the Netherlands decreases 2.5% on
average per year. There is no significant trend for the EU, nor does the score of the Netherlands increase or
decrease significantly relative to the EU.
0,00
1,00
2,00
3,00
4,00
5,00
6,00
7,00
2010 2011 2013 2014 2015 2016
PCT patent applications
PCT patent applications NL PCT patent applications EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
21
PCT patent application in societal challenges
The indicator represents PCT patent applications in health technology and environment-related
technologies. It is measured as PCT applications in societal challenges per billion GDP. The Netherlands’
score for this indicator has always been higher than the EU average during the years. In 2010 it was 1.11
which was 72% higher than the EU score. From 2011 to 2013, the score was increasing from 1.05 to 1.22
and outperformed the EU average by approximately 24%. From 2014 to 2015 the score rose dramatically
from 1.17 to 1.73 and slightly decreased to 1.68 in 2016, the latter exceeded the EU average by 67%.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 8.0% on average per year, while the score of the EU increases 6.8% on average per year. There is
no significant increase of decrease of the score of the Netherlands relative to the EU.
0,00
0,50
1,00
1,50
2,00
2010 2011 2013 2014 2015 2016
PCT patent application in societal
challenges
PCT patent application in societal challenges NL
PCT patent application in societal challenges EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
22
Community trademarks
The indicator represents the community trademarks per billion GDP. The Netherlands indicator’s score has
always been exceeding the EU average. During the period of 3 years (2007-2010), the steady growth of the
score led to the outperformance of the EU average from 59% to 61%. From 2010 till 2016 the score has
been decreasing gradually and in 2016 it is 1.14 which is 16% higher than the EU average.
Since in 2010 the score was redefined, we present two different graphs. For the same reasons, we did not
calculate separate trends. There was no significant increase of the score of the Netherlands relative to the
EU.
0,00
50,00
100,00
150,00
200,00
250,00
2005 2006 2007 2008 2009
Community trademarks
Community trademarks NL Community trademarks EU
0,00
2,00
4,00
6,00
8,00
10,00
2010 2011 2013 2014 2015 2016
Community trademarks
Community trademarks NL Community trademarks EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
23
Community designs
The indicator of community designs represents community designs per billion GDP. A glimpse into the past
provides an insight that the score for the indicator has been increasing from 2005 to 2009 with a small drop
in the score in 2008. The score remained above the EU average during the years and in 2009 the score
exceeded the EU average by 32%. However, from 2010 to 2016 the score of the indicator decreased and
stayed below EU average (with an exception of 2015). In 2016 the score accounts for 77% of the EU average
score (4.44). Because of a redefinition of the score in 2010 we present two graphs.
Because of the redefinition of the score, we only computed the score of the Netherlands relative to the EU,
which is negative and significant (p=0.06).
0,00
50,00
100,00
150,00
200,00
2005 2006 2007 2008 2009
Community designs
Community designs NL Community designs EU
0,00
1,00
2,00
3,00
4,00
5,00
6,00
2010 2011 2013 2014 2015 2016
Community designs
Community designs NL Community designs EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
24
SMEs with product or process innovations
The indicator presents SMEs introducing product or process innovations. The Netherlands’ score for the
indicator has been lower than the EU average by 2%-8% till 2010. In 2013 the score exceeded the EU
average by 20% and in 2015 the score was 34% higher than the EU average.
There are no significant trends for the Netherlands or the EU. The score of the Netherlands increases
significantly relative to the EU (p-value 0.08).
0,00
10,00
20,00
30,00
40,00
50,00
2008 2010 2013 2015
SMEs with product or process
innovations
SMEs with product or process innovations NL
SMEs with product or process innovations EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
25
SMEs with marketing or organisational innovations
The indicator presents SMEs applying marketing or organizational innovations. The score of the indicator
has been lower than the EU average for the last 8 years. However, the relative score has been increasing
steadily and the gap between the EU average and the Netherlands has been reduced. In 2008 the score
represented only 72%, whereas in 2015 it was 97% of the EU average.
There are no significant trends for the Netherlands or the EU. The score of the Netherlands increases
significantly relative to the EU (p-value 0.04).
0,00
10,00
20,00
30,00
40,00
50,00
2008 2010 2013 2015
SMEs with marketing or organisational
innovations
SMEs with marketing or organisational innovations NL
SMEs with marketing or organisational innovations EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
26
Employment in knowledge-intensive activities
The indicator represents the employment in knowledge intensive activities measured as a percentage of
total employment. The score for employment in knowledge-intensive activities of the Netherlands has been
exceeding the EU average for the last 6 years. From 2010 to 2014 the score fluctuated only slightly
(between 14.8 and 15.2) and it exceeded the EU average by 9% in 2014. In 2015 the score of indicator has
increased sharply (17.10) and it has remained at this level till 2016, when it exceeded the EU average by
24%.
The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands
increases 2.5% on average per year, while the score of the EU increases 1.0% on average per year. There is
no significant increase of decrease of the score of the Netherlands relative to the EU.
0,00
5,00
10,00
15,00
20,00
2010 2011 2013 2014 2015 2016
Employment in knowledge intensive
activities
Employment in knowledge intensive activities NL
Employment in knowledge intensive activities EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
27
Medium and high-tech product exports
The indicator of medium high-tech product exports represents the exports of medium and high-technology
products as a share of total product export. The medium high-tech exports score of the Netherlands has
kept its position below the EU average over time. From 2009 to 2016 the score accounted for 80% - 85% of
the EU average.
There is no significant trend for the Netherlands. The trend for the EU is positive and significant. The score
of the EU increases 2.0% on average per year. There is no significant increase of decrease of the score of the
Netherlands relative to the EU.
0,00
10,00
20,00
30,00
40,00
50,00
60,00
2008 2009 2010 2011 2015 2016
Medium and high-tech product
exports
Medium and high-tech product exports NL
Medium and high-tech product exports EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
28
Knowledge-intensive services exports
The indicator measures the competitiveness of the knowledge -intensive service sector. The knowledge-
intensive service exports of the Netherlands has been below the EU average over time. During the 5 year
period 2008-2013 the score of the Netherlands was decreasing steadily from 39.91 to 26.31. In 2013 it
accounted for 58% of The EU average. In 2014 and 2015 the score was increasing gradually and it accounted
for approximately 60% of the EU average in 2015. In 2016 the score was redefined, which explain the
apparent increase of the score in that year.
There are no significant trends in either the score for the Netherlands or the EU, nor does the score for the
Netherlands increase or decrease significantly relative to the EU.
0,00
10,00
20,00
30,00
40,00
50,00
60,00
70,00
2008 2009 2010 2011 2013 2014 2015 2016
Knowledge-intensive services exports
Knowledge-intensive services exports NL
Knowledge-intensive services exports EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
29
Sales of new-to-market and new-to-firm innovations
The indicator presents sales of new-to-market and new-to-firm innovations as a percentage of turnover.
The score of the indicator has been lower than the EU average during the years; however it has been
steadily increasing. It accounted for 70% of the EU average in 2010 and 2013. In 2015 it increased slightly
but it was enough to improve the relative position and account for 95% of the EU average.
The trends for the Netherlands is positive and significant. The score of the Netherlands increases 5.8% on
average per year. There is no significant trend for the EU, nor is there a significant increase of decrease of
the score of the Netherlands relative to the EU.
0,00
2,00
4,00
6,00
8,00
10,00
12,00
14,00
16,00
2010 2013 2015
Sales of new to market and new to
firm innovations
Sales of new to market and new to firm innovations NL
Sales of new to market and new to firm innovations EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
30
License and patent revenues from abroad
The indicator presents license and patent revenues from abroad as a percentage of GDP. The score of this
indicator for the Netherlands remained higher than the EU average from 2010 to 2016. In 2010 the score
was 0.67 which was 3 times higher than the EU average. A drop in the score (from 1.3 to 0.8) was seen in
2014, but it still remained 5% higher than the EU average. A sudden increase in score (from 0.8 to 3.75) was
seen in 2015. During this year the Netherlands’ score was almost 6 times higher than the EU score. In 2016
the score has decreased slightly and it is 4.2 times higher than the EU average.
There are no significant trends in either the score for the Netherlands or the EU, nor does the score for the
Netherlands increase or decrease significantly relative to the EU.
0,00
0,50
1,00
1,50
2,00
2,50
3,00
3,50
4,00
2010 2011 2013 2014 2015 2016
License and patent revenues from abroad
License and patent revenues from abroad NL
License and patent revenues from abroad EU
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
31
Appendix. Overview of indicators: EU measurement framework
Source: Innovation Union Scoreboard 2015
RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
32
Contact details
Rotterdam School of Management, Erasmus University (RSM) is one of Europe’s leading business schools,
and ranked among the top three for research. RSM provides ground-breaking research and education
furthering excellence in all aspects of management and is based in the international port city of Rotterdam
– a vital nexus of business, logistics and trade. RSM’s primary focus is on developing business leaders with
international careers who carry their innovative mindset into a sustainable future thanks to a first-class
range of bachelor, master, MBA, PhD and executive programmes. RSM also has offices in Chengdu, China,
and Taipei, Taiwan. www.rsm.nl
For more information about this research report, please contact Jan van den Ende, Professor of
Management of Technology and Innovation at RSM, on +31 10 408 2299 or by email at jende@rsm.nl.

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RSM_analysis_of_EU_Innovation_Scoreboard

  • 1. Innovativeness of the Netherlands relative to EU countries Authors: Jan van den Ende Professor of Innovation and Technology Management Rotterdam School of Management Erasmus University jende@rsm.nl Sandra Čerkauskaitė Research assistant Rotterdam School of Management Erasmus University Rotterdam, the Netherlands, 14 July 2016 RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD
  • 2. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 2 Table of Contents Executive Summary............................................................................................................................................ 3 Methodology...................................................................................................................................................... 5 Summary Innovation Index................................................................................................................................ 6 New doctorate graduates .................................................................................................................................. 7 Population with tertiary education.................................................................................................................... 8 Youth with at least upper secondary education................................................................................................ 9 International scientific co-publications............................................................................................................ 10 Top 10% most cited scientific publications...................................................................................................... 11 Non-EU doctorate students ............................................................................................................................. 12 R&D expenditure in the public sector.............................................................................................................. 13 Venture capital investments............................................................................................................................ 14 R&D expenditure in the business sector.......................................................................................................... 15 Non-R&D innovation expenditure ................................................................................................................... 16 SMEs innovating in-house................................................................................................................................ 17 Innovative SMEs collaborating with others ..................................................................................................... 18 Public-private co-publications.......................................................................................................................... 19 PCT patent applications ................................................................................................................................... 20 PCT patent application in societal challenges.................................................................................................. 21 Community trademarks ................................................................................................................................... 22 Community designs.......................................................................................................................................... 23 SMEs with product or process innovations...................................................................................................... 24 SMEs with marketing or organisational innovations ....................................................................................... 25 Employment in knowledge-intensive activities ............................................................................................... 26 Medium and high-tech product exports.......................................................................................................... 27 Knowledge-intensive services exports............................................................................................................. 28 Sales of new-to-market and new-to-firm innovations..................................................................................... 29 License and patent revenues from abroad...................................................................................................... 30 Appendix. Overview of indicators: EU measurement framework ................................................................... 31
  • 3. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 3 Executive Summary The report compares the Netherlands scores on indicators of innovativeness from the European Innovation Scoreboard with the EU average scores over the period 2005-2016. We analyzed systematic out- and underperformance of the Netherlands, and trends. The conclusion is that over the whole period the Netherlands has been strong in enablers for innovation, particularly in knowledge production and public support, and in research collaboration between public research institutes and the private sector. The country outperforms the EU average by far on highly cited publications and on international scientific co-publications. In this period, the Netherlands has further strengthened public support in R&D, and has improved the availability of venture capital relative to the EU. A relative weakness of the Netherlands has always been the conversion of knowledge into successful innovations in the market, but it now appears that the Netherlands is doing better in this area than previously concluded. Particularly, more small and medium-sized enterprises (SMEs) indicate to be engaged in innovation. As a result of improvements, the overall score of the Netherlands has improved relative to the EU over the period 2005-2016. The results mentioned above involve that firms in the Netherlands show better innovation management, converting knowledge inputs more effectively into innovation outputs than reported in the past. Since the Netherlands remains weak on some output indicators, further improvement in innovation management is required. Summary of indicators A significant positive trend of the Netherlands compared to the EU average is seen in: - Overall: Summary Innovation Index - Enablers o Non-EU doctorate students1 ; o R&D expenditures in the public sector; o Venture capital investments; - Firm activities o SMEs innovating in-house; - Outputs o SMEs with product and process innovations; 1 Due to the lack of data the trend should be interpreted cautiously.
  • 4. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 4 o SMEs with marketing or organisational innovations; A significant negative trend is seen in: - Firm activities o Public-private co-publications; o Community designs; Systematic outperformance of the Netherlands compared to the EU average is seen in: - Overall: Summary Innovation Index - Enablers o New doctorate graduates; o Tertiary education; o International scientific co-publications; o Top 10% most cited scientific publications; o R&D expenditure in the public sector; - Firm activities o Innovative SMEs collaborating with others; o Public-private co-publications; o PCT patent applications; o PCT patent applications in societal challenges; o Community trademarks; - Outputs o Employment in knowledge intensive activities; o License and patent revenues from abroad; On the other hand, systematic underperformance is seen in: - Enablers o Youth with at least upper secondary education; - Firm activities: o R&D expenditures in the business sector; - Outputs o SMEs with marketing or organizational innovations o Medium high-tech product exports; o Sales of new to market and new to firm innovations.
  • 5. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 5 Methodology We used data from the European Innovation Scoreboard from the Netherlands and the EU average of the period 2005-2016. We attained the relative score of the Netherlands on an indicator by dividing the score of the Netherlands by the EU average score. Systematic outperformance and underperformance of the Netherlands compared to EU was concluded from comparison of the data over the studied period. Using regression analyses we computed trendlines per indicator for the Netherlands and for the EU, and the trends for the Netherlands relative to the EU. In view of the low number of observations (years), we used p < 0,10 as criterion for significance. The trends on the indicators of firm activities and outputs relative to the EU should be interpreted with caution because of a change from hardcopy to online surveying in the underlying Community Innovation Survey by the CBS, which becomes evident in the figures for 2013 onwards. Due to the lay-out of the former hardcopy questionnaire, underscoring of certain questions seems plausible2 . As a consequence of response- based structuring of the online survey, the accuracy of the figures is improved since the scoreboard of 2013. The data of the Summary Innovation Index are from the European Innovation Scoreboard of 2015. Reading guide: The years in the charts are the publication dates of the European Innovation Scoreboard reports. The underlying data are usually from the previous year and for some indicators from 2-3 years before the publication dates. For this report, data were used from the European Innovation Scoreboard, European Commission, prepared by Merit, Maastricht, the Netherlands. We thank Hugo Hollanders from Merit for his kind co-operation. 2 CBS, CIS 2008-2010.
  • 6. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 6 Summary Innovation Index The Summary Innovation Index summarizes the range of different indicators of innovation and measures the innovation performance. The summary innovation index of the Netherlands was higher than the EU average over the whole period. In 2005 it was 14% higher than EU average; however, in 2009 it was higher only by 3% than EU average. After 2009, the score of the Netherlands on the index increased systematically and in 2015 it was 17% higher than the EU average. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 3.7% on average per year, while the score of the EU increases 2.5% on average per year. The increase of the score of the Netherlands relative to the EU is positive and significant (p- value 0.04). 0,00 0,10 0,20 0,30 0,40 0,50 0,60 0,70 2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 Summary Innovation Index Summary Innovation Index NL Summary Innovation Index EU
  • 7. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 7 New doctorate graduates The indicator presents new doctorate graduates per 1000 population aged 25-34. The score of the indicator for the Netherlands has been increasing during the years and always remained higher than the EU average. In 2010 it was 1.6 which was 14% higher than the EU score and in 2016 the indicator score was 2.2, which was 20% higher than EU score. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 4.9% on average per year, while the score of the EU increases 4.6% on average per year. There is no significant increase or decrease of the score of the Netherlands relative to the EU. 0,00 0,50 1,00 1,50 2,00 2,50 2010 2011 2013 2014 2015 2016 New doctorate graduates New doctorate graduates NL New doctorate graduates EU
  • 8. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 8 Population with tertiary education Tertiary education refers to the percentage of the population aged 25-64 (for years 2005-2009) or 30-34 (for years 2010-2015) having completed tertiary education. The population with tertiary education in the Netherlands has always been higher than the EU average. In 2005 the score of the indicator was 27.55 and it was 26 % higher that the EU average. From 2009 onwards the tertiary education remained higher than the EU average but has been decreasing constantly during the years (in 2009 and 2015 it was higher than the EU average by 32% and 17% respectively). In 2016 the score of indicator is 46.40, which is 21% higher than the EU average. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 4.7% on average per year, while the score of the EU increases 4.9% on average per year. There is no significant increase or decrease of the score of the Netherlands relative to the EU. 0,00 5,00 10,00 15,00 20,00 25,00 30,00 35,00 40,00 45,00 50,00 2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016 Population with tertiary education Population with tertiary education NL Population with tertiary education EU
  • 9. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 9 Youth with at least upper secondary education The percentage of population aged 20-24 which have attained at least upper secondary education. Youth education attainment level of the Netherlands has been lower than the EU average by 2-3% (apart from 2006 when it was equal) during the years. In 2016 the score is 79.8 and it is 3% lower than the EU average. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 0.6% on average per year, while the score of the EU increases 0.7% on average per year. There is no significant increase or decrease of the score of the Netherlands relative to the EU. 70,00 72,00 74,00 76,00 78,00 80,00 82,00 84,00 2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016 Youth with at least upper secondary education Youth with at least upper secondary education NL Youth with at least upper secondary education EU
  • 10. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 10 International scientific co-publications The indicator is a proxy for quality of scientific research and is measured by the international scientific co- publications per million population. During the 5 year period, the score of the indicator for the Netherlands has been increasing steadily. In 2010 the score was 1059 and in 2015 it was 1524. Also, the international scientific co-publications score has always been higher for the Netherlands compared to the EU average. The score was 4 and 4.2 times higher than the EU average in 2010 and 2015 respectively. However, in 2016 the score has decresed to 1449 but still remains 3.2 times higher than the EU average. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 5.3% on average per year, while the score of the EU increases 7.6% on average per year. There is no significant increase or decrease of the score of the Netherlands relative to the EU. 0,00 200,00 400,00 600,00 800,00 1000,00 1200,00 1400,00 1600,00 1800,00 2010 2011 2013 2014 2015 2016 International scientific co-publications International scientific co-publications NL International scientific co-publications EU
  • 11. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 11 Top 10% most cited scientific publications The indicator captures the scientific publications among the top 10% most cited publications worldwide as percentage of total scientific publications of the country. The indicator’s score for the Netherlands has been higher than the EU average by approximately 40% from 2011 to 2016. There are no significant trends for either the Netherlands or the EU, nor is there a significant increase or decrease of the score of the Netherlands relative to the EU. 0,00 2,00 4,00 6,00 8,00 10,00 12,00 14,00 16,00 18,00 2010 2011 2013 2014 2015 2016 Top 10% most cited scientific publications Top 10% most cited scientific publications NL Top 10% most cited scientific publications EU
  • 12. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 12 Non-EU doctorate students The indicator represents Non-EU doctorate students as a percentage of all doctorate students. The Netherlands’ score was lower than the EU average in 2014 and 2015. In 2014 it accounted for 86% and in 2015 to 96% of EU average. In 2016, the score exceeds the EU average by 9%. There are no significant trends for either the Netherlands or the EU. Nevertheless is the score of the Netherlands relative to the EU is positive and significant (p-value 0.03). However, the number of observations is low and there was a change in data source in 2016; therefore this result should be interpreted cautiously. 0,00 5,00 10,00 15,00 20,00 25,00 30,00 2014 2015 2016 Non-EU doctorate students Non-EU doctorate students NL Non-EU doctorate students EU
  • 13. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 13 R&D expenditure in the public sector R&D expenditures in the public sector measured as a percentage of GDP of the Netherlands have always been higher than the EU average. The score remained stable during the period between 2010 and 2013. The expenditures exceeded The EU average by 28% during these years. The slight drop of the score was seen the following two years. However, in 2016 the score of the indicator is 0.87, which is 21% higher than the EU average. The trends for the Netherlands is positive. The score of the Netherlands increases 2,2% on average per year. There is no significant trend for the score of the EU. The increase of the score of the Netherlands relative to the EU is positive and significant (p-value 0.04). 0,00 0,20 0,40 0,60 0,80 1,00 1,20 2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016 R&D expenditure in the public sector R&D expenditure in the public sector NL R&D expenditure in the public sector EU
  • 14. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 14 Venture capital investments Venture capital investment represents early stage and expansion and replacement capital for firms. The Netherlands accounted for 69% of the EU average for venture capital investments in 2008. Due to the steady growth of the score the EU average was reached in 2010. From 2010 the score has been steadily rising and exceeded the EU average venture capital investment by 10% in 2015. In 2016 the score has increased from 0.07 to 0.1, leading to outperformance of the EU average by 53%. The trends for both the Netherlands and the EU are negative and significant. The score of the Netherlands decreases 3.8% on average per year, while the score of the EU decreases 11.2% on average per year. The score of the Netherlands decreases significantly less than the score of the EU (p-value 0.003). 0,00 0,02 0,04 0,06 0,08 0,10 0,12 0,14 0,16 0,18 2008 2009 2010 2011 2013 2014 2015 2016 Venture capital investments Venture capital investments NL Venture capital investments EU
  • 15. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 15 R&D expenditure in the business sector R&D expenditure in the business sector represents the creation of new knowledge within firms. For the Netherlands, it has always been lower than the EU average. In 2005 the score of the indicator accounted for 80% of the EU average. During the period from 2009 to 2013 it represented 70-74% of the EU average. After the sudden increase, the score has been slightly decreasing from 1.22 to 1.11 in 2014 and 2016 respectively. In 2016 the score accounts for 85% of The EU average. There is no significant trend for the Netherlands, while the score of the EU increases 1.3% on average per year. There is no significant increase of decrease of the score of the Netherlands relative to the EU. 0,00 0,20 0,40 0,60 0,80 1,00 1,20 1,40 2005 2006 2007 2008 2009 2010 2011 2013 2014 2015 2016 R&D expenditure in the business sector R&D expenditure in the business sector NL R&D expenditure in the business sector EU
  • 16. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 16 Non-R&D innovation expenditure Non-R&D innovation expenditure is measured as a percentage of total turnovers. Examples of such expenditure are an investment in equipment and machinery and the acquisition of patents and licenses. The gradual increase in non-R&D innovation expenditure in the Netherlands has been seen in the period from 2008 to 2013. In 2008 and 2010 it accounted for only 28% and 73% of the EU average, and in 2013 it exceeded the EU average by 9%. However, the score of indicator dropped suddenly to 26% of the European average in 2015. There is no significant trend for the Netherlands, while the score of the EU decreases 5.9% on average per year. There is no significant increase or decrease of the score of the Netherlands relative to the EU. 0,00 0,20 0,40 0,60 0,80 1,00 1,20 2008 2010 2013 2015 Non-R&D innovation expenditure Non-R&D innovation expenditure NL Non-R&D innovation expenditure EU
  • 17. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 17 SMEs innovating in-house This indicator measures the degree to which SMEs that have introduced any new or significantly improved products or production processes have innovated in-house. The score of the indicator for the Netherlands had been below the EU average from 2007 to 2010. However, it was increasing gradually. In 2013 it exceeded the EU average by 23%. Later, the EU average was exceeded by 36% in 2015. The trends for the Netherlands is positive and significant. The score of the Netherlands increases 6.0% on average per year. There is no significant trend for the EU. The score of the Netherlands increases significantly relative to the EU (p-value 0.003). 0,00 5,00 10,00 15,00 20,00 25,00 30,00 35,00 40,00 45,00 2006 2007 2008 2010 2013 2015 SMEs innovating in-house SMEs innovating in-house NL SMEs innovating in-house EU
  • 18. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 18 Innovative SMEs collaborating with others The indicator of innovative SMEs collaborating with others represents the degree to which SMEs are co- operating with others in order to innovate. It measures the flow of knowledge between public research institutions and firms and between firms and other firms. The Netherlands has been exceeding the EU average of innovative SMEs collaborating with others during the past years. In 2008 and 2013 it exceeded the EU average by 30%, whereas in 2015 it surpassed the EU average by 40%. The trends for the Netherlands is positive and significant. The score of the Netherlands increases 2.4% on average per year. There is no significant trend for the EU. The score of the Netherlands does not increase or decrease significantly relative to the EU. 0,00 2,00 4,00 6,00 8,00 10,00 12,00 14,00 16,00 2008 2010 2013 2015 Innovative SMEs collaborating with others Innovative SMEs collaborating with others NL Innovative SMEs collaborating with others EU
  • 19. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 19 Public-private co-publications The public-private co-publications represent the active collaboration activities and cooperating research between business sector researchers and public sector researchers leading to academic publications. It is remarkable that the Netherlands’ score for public and private co-publications has always been exceeding the EU average by at least 2.4 times. It was 2.66 and 2.38 times higher than the EU average in 2008 and 2015 respectively. There are no significant trends for either the Netherlands or the EU, nor does the score of the Netherlands increase or decrease significantly relative to the EU. 0,00 20,00 40,00 60,00 80,00 100,00 120,00 140,00 2008 2010 2013 2015 Public-private co-publications Public-private co-publications NL Public-private co-publications EU
  • 20. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 20 PCT patent applications The indicator presents PCT patent applications per billion GDP. The score of PCT patent applications for the Netherlands has been always exceeding the EU average by 60% (with an exception for the year 2014, when the score was 40% higher than the EU average). The trends for the Netherlands is negative and significant. The score of the Netherlands decreases 2.5% on average per year. There is no significant trend for the EU, nor does the score of the Netherlands increase or decrease significantly relative to the EU. 0,00 1,00 2,00 3,00 4,00 5,00 6,00 7,00 2010 2011 2013 2014 2015 2016 PCT patent applications PCT patent applications NL PCT patent applications EU
  • 21. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 21 PCT patent application in societal challenges The indicator represents PCT patent applications in health technology and environment-related technologies. It is measured as PCT applications in societal challenges per billion GDP. The Netherlands’ score for this indicator has always been higher than the EU average during the years. In 2010 it was 1.11 which was 72% higher than the EU score. From 2011 to 2013, the score was increasing from 1.05 to 1.22 and outperformed the EU average by approximately 24%. From 2014 to 2015 the score rose dramatically from 1.17 to 1.73 and slightly decreased to 1.68 in 2016, the latter exceeded the EU average by 67%. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 8.0% on average per year, while the score of the EU increases 6.8% on average per year. There is no significant increase of decrease of the score of the Netherlands relative to the EU. 0,00 0,50 1,00 1,50 2,00 2010 2011 2013 2014 2015 2016 PCT patent application in societal challenges PCT patent application in societal challenges NL PCT patent application in societal challenges EU
  • 22. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 22 Community trademarks The indicator represents the community trademarks per billion GDP. The Netherlands indicator’s score has always been exceeding the EU average. During the period of 3 years (2007-2010), the steady growth of the score led to the outperformance of the EU average from 59% to 61%. From 2010 till 2016 the score has been decreasing gradually and in 2016 it is 1.14 which is 16% higher than the EU average. Since in 2010 the score was redefined, we present two different graphs. For the same reasons, we did not calculate separate trends. There was no significant increase of the score of the Netherlands relative to the EU. 0,00 50,00 100,00 150,00 200,00 250,00 2005 2006 2007 2008 2009 Community trademarks Community trademarks NL Community trademarks EU 0,00 2,00 4,00 6,00 8,00 10,00 2010 2011 2013 2014 2015 2016 Community trademarks Community trademarks NL Community trademarks EU
  • 23. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 23 Community designs The indicator of community designs represents community designs per billion GDP. A glimpse into the past provides an insight that the score for the indicator has been increasing from 2005 to 2009 with a small drop in the score in 2008. The score remained above the EU average during the years and in 2009 the score exceeded the EU average by 32%. However, from 2010 to 2016 the score of the indicator decreased and stayed below EU average (with an exception of 2015). In 2016 the score accounts for 77% of the EU average score (4.44). Because of a redefinition of the score in 2010 we present two graphs. Because of the redefinition of the score, we only computed the score of the Netherlands relative to the EU, which is negative and significant (p=0.06). 0,00 50,00 100,00 150,00 200,00 2005 2006 2007 2008 2009 Community designs Community designs NL Community designs EU 0,00 1,00 2,00 3,00 4,00 5,00 6,00 2010 2011 2013 2014 2015 2016 Community designs Community designs NL Community designs EU
  • 24. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 24 SMEs with product or process innovations The indicator presents SMEs introducing product or process innovations. The Netherlands’ score for the indicator has been lower than the EU average by 2%-8% till 2010. In 2013 the score exceeded the EU average by 20% and in 2015 the score was 34% higher than the EU average. There are no significant trends for the Netherlands or the EU. The score of the Netherlands increases significantly relative to the EU (p-value 0.08). 0,00 10,00 20,00 30,00 40,00 50,00 2008 2010 2013 2015 SMEs with product or process innovations SMEs with product or process innovations NL SMEs with product or process innovations EU
  • 25. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 25 SMEs with marketing or organisational innovations The indicator presents SMEs applying marketing or organizational innovations. The score of the indicator has been lower than the EU average for the last 8 years. However, the relative score has been increasing steadily and the gap between the EU average and the Netherlands has been reduced. In 2008 the score represented only 72%, whereas in 2015 it was 97% of the EU average. There are no significant trends for the Netherlands or the EU. The score of the Netherlands increases significantly relative to the EU (p-value 0.04). 0,00 10,00 20,00 30,00 40,00 50,00 2008 2010 2013 2015 SMEs with marketing or organisational innovations SMEs with marketing or organisational innovations NL SMEs with marketing or organisational innovations EU
  • 26. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 26 Employment in knowledge-intensive activities The indicator represents the employment in knowledge intensive activities measured as a percentage of total employment. The score for employment in knowledge-intensive activities of the Netherlands has been exceeding the EU average for the last 6 years. From 2010 to 2014 the score fluctuated only slightly (between 14.8 and 15.2) and it exceeded the EU average by 9% in 2014. In 2015 the score of indicator has increased sharply (17.10) and it has remained at this level till 2016, when it exceeded the EU average by 24%. The trends for both the Netherlands and the EU are positive and significant. The score of the Netherlands increases 2.5% on average per year, while the score of the EU increases 1.0% on average per year. There is no significant increase of decrease of the score of the Netherlands relative to the EU. 0,00 5,00 10,00 15,00 20,00 2010 2011 2013 2014 2015 2016 Employment in knowledge intensive activities Employment in knowledge intensive activities NL Employment in knowledge intensive activities EU
  • 27. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 27 Medium and high-tech product exports The indicator of medium high-tech product exports represents the exports of medium and high-technology products as a share of total product export. The medium high-tech exports score of the Netherlands has kept its position below the EU average over time. From 2009 to 2016 the score accounted for 80% - 85% of the EU average. There is no significant trend for the Netherlands. The trend for the EU is positive and significant. The score of the EU increases 2.0% on average per year. There is no significant increase of decrease of the score of the Netherlands relative to the EU. 0,00 10,00 20,00 30,00 40,00 50,00 60,00 2008 2009 2010 2011 2015 2016 Medium and high-tech product exports Medium and high-tech product exports NL Medium and high-tech product exports EU
  • 28. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 28 Knowledge-intensive services exports The indicator measures the competitiveness of the knowledge -intensive service sector. The knowledge- intensive service exports of the Netherlands has been below the EU average over time. During the 5 year period 2008-2013 the score of the Netherlands was decreasing steadily from 39.91 to 26.31. In 2013 it accounted for 58% of The EU average. In 2014 and 2015 the score was increasing gradually and it accounted for approximately 60% of the EU average in 2015. In 2016 the score was redefined, which explain the apparent increase of the score in that year. There are no significant trends in either the score for the Netherlands or the EU, nor does the score for the Netherlands increase or decrease significantly relative to the EU. 0,00 10,00 20,00 30,00 40,00 50,00 60,00 70,00 2008 2009 2010 2011 2013 2014 2015 2016 Knowledge-intensive services exports Knowledge-intensive services exports NL Knowledge-intensive services exports EU
  • 29. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 29 Sales of new-to-market and new-to-firm innovations The indicator presents sales of new-to-market and new-to-firm innovations as a percentage of turnover. The score of the indicator has been lower than the EU average during the years; however it has been steadily increasing. It accounted for 70% of the EU average in 2010 and 2013. In 2015 it increased slightly but it was enough to improve the relative position and account for 95% of the EU average. The trends for the Netherlands is positive and significant. The score of the Netherlands increases 5.8% on average per year. There is no significant trend for the EU, nor is there a significant increase of decrease of the score of the Netherlands relative to the EU. 0,00 2,00 4,00 6,00 8,00 10,00 12,00 14,00 16,00 2010 2013 2015 Sales of new to market and new to firm innovations Sales of new to market and new to firm innovations NL Sales of new to market and new to firm innovations EU
  • 30. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 30 License and patent revenues from abroad The indicator presents license and patent revenues from abroad as a percentage of GDP. The score of this indicator for the Netherlands remained higher than the EU average from 2010 to 2016. In 2010 the score was 0.67 which was 3 times higher than the EU average. A drop in the score (from 1.3 to 0.8) was seen in 2014, but it still remained 5% higher than the EU average. A sudden increase in score (from 0.8 to 3.75) was seen in 2015. During this year the Netherlands’ score was almost 6 times higher than the EU score. In 2016 the score has decreased slightly and it is 4.2 times higher than the EU average. There are no significant trends in either the score for the Netherlands or the EU, nor does the score for the Netherlands increase or decrease significantly relative to the EU. 0,00 0,50 1,00 1,50 2,00 2,50 3,00 3,50 4,00 2010 2011 2013 2014 2015 2016 License and patent revenues from abroad License and patent revenues from abroad NL License and patent revenues from abroad EU
  • 31. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 31 Appendix. Overview of indicators: EU measurement framework Source: Innovation Union Scoreboard 2015
  • 32. RESEARCH REPORT – EUROPEAN INNOVATION SCOREBOARD 32 Contact details Rotterdam School of Management, Erasmus University (RSM) is one of Europe’s leading business schools, and ranked among the top three for research. RSM provides ground-breaking research and education furthering excellence in all aspects of management and is based in the international port city of Rotterdam – a vital nexus of business, logistics and trade. RSM’s primary focus is on developing business leaders with international careers who carry their innovative mindset into a sustainable future thanks to a first-class range of bachelor, master, MBA, PhD and executive programmes. RSM also has offices in Chengdu, China, and Taipei, Taiwan. www.rsm.nl For more information about this research report, please contact Jan van den Ende, Professor of Management of Technology and Innovation at RSM, on +31 10 408 2299 or by email at jende@rsm.nl.