The document presents lessons learned from successful cluster building and operation in Europe, highlighting the role of the European Secretariat for Cluster Analysis (ESCA) and the importance of cluster management and development. It discusses effective strategies, services, and government support for fostering vibrant clusters, using examples from various sectors such as the chemical industry and the Saxony state in Germany. The focus is on collaborative efforts between businesses, academia, and policy makers to create competitive value chains and innovation ecosystems.

1. Success in Cluster Building and Operation:
Lessons learned in Europe
Thomas Lämmer-Gamp
Director of the European Secretariat for Cluster Analysis (ESCA)
Head of Group “Global Innovation and Clusters” at VDI/VDE Innovation +
Technik
+49 30 310078 414
tlg@vdivde-it.de
www.cluster-analysis.org
www.vdivde-it.de
Daegu, October 23rd, 2017

2. Thomas Lämmer-Gamp
• 18 years professional experience in the area of regional economic development
• Since 8/2010 at innovation agency VDI/VDE Innovation + Technik, Germany:
• Head of Group “Global Innovation and Clusters”
• Director, European Secretariat for Cluster Analysis (ESCA)
• Recent publications:
• Meier zu Köcker, Gerd/Lämmer-Gamp, Thomas, 2017: Core design
features of an integrated cluster policy, in: Fornahl, Dirk/Hassing, Robert,
2017 (eds.): The lifecycle of clusters. A policy perspective, Edward Elgar:
Cheltenham, pp. 135-150
• Ketels, Christian/Lämmer-Gamp, Thomas et al., 2016: Smart Guide to
Cluster Policy. How to Make Better Use of Clusters for Fostering Regional
Industrial Modernization, SME Growth Support and Smart Specialisation,
report of the European Cluster Observatory, European Commission

3. Table of contents
• A few words about the European Secretariat for Cluster Analysis (ESCA)
I) Cluster management and development – key ingredients of a vibrant cluster
• What is a cluster?
• Business-driven strategy of a cluster organisation
• Services of a cluster organisation: Developing projects and “activating” the cluster:
serving the needs of the companies!
• Management standards of cluster organisations
• Best practice example developing new value chains in the chemical industry
through clusters: growth and job creation
II) Government support for cluster development
• Systemic development through different programmes
• Support of cluster organisations – the example of the German Federal State of
Saxony

4. Cluster development and management
A few words about the
European Secretariat for Cluster Analysis (ESCA)

5. ESCA is an open pan-European network: people and
governance
People: ~ 100 assessors, 59 public and
private institutions, 26 countries
www.cluster-analysis.org/esca-experts
Technical Advisory Board Cluster Management
Excellence (TAB)
Monitoring and further development of standards
Chair: Lisa Besnard (AUT), Emma Vendrell (ESP)
Cluster Excellence Expert Group (CEEG)
Award body Gold Label
Chair: Per Spindler (DK), Philip Aldridge (UK)
Starting point: 2009 initiative of the European
Commission / follow-up initiative financed by the
European Commission in 2017
Today:

6. Labelling and management advise to cluster organisations
914 cluster organisations, 40 countries
81 cluster organisations, 16 countries
79 cluster organisations, 16 countries

7. „Wir empfehlen, bei künftigen Programmen der Cluster-
und Netzwerkförderung von vornherein einen
Schwerpunkt auf die Entwicklung der CM sowie das
Benchmarking der Organisationsentwicklung zu legen.
Eine Möglichkeit, die Weiterentwicklung der
Clusterorganisationen zu forcieren, ist die Teilnahme am
Benchmarking im Rahmen der ECEI.“
Source: Evaluation report Spitzencluster-Wettbewerb, September 2014, p. 224
(http://www.rwi-essen.de/media/content/pages/publikationen/rwi-
projektberichte/RWI-PB_Spitzencluster.pdf)
Positive feedback from independent evaluation: German
Spitzencluster programme
Recommendation for future programmes:
ECEI benchmarking as a tool to develop
cluster management capacity

8. Part I)
Cluster management and development
– key ingredients of a vibrant cluster

9. Cluster development and management
What is a cluster?

10. Cluster definitions
• Clusters are geographic concentrations of interconnected companies and
institutions in a particular field that compete and collaborate at the same time
(Michael E. Porter).
• Cluster initiatives are organized efforts to support the competitiveness of a cluster
and thus consist of practical actions related to the capacity of these clusters to self-
organize and increasingly to proactively shape the future of the cluster. They
usually follow a bottom-up approach, are implemented through a competitive
process, and are often managed by specialized SME intermediaries, such as cluster
organisations.
• Cluster organisations are the legal entities that support the strengthening of
collaboration, networking and learning in innovation clusters and act as innovation
support providers by providing or channeling specialized and customized business
support services to stimulate innovation activities, especially in SMEs. They are the
actors that facilitate strategic partnering across clusters.
Source: Lämmer-Gamp/Ketels/Izsak/Meier zu Köcker, Gerd, 2016: Smart Guide to Cluster Policy. How to Make Better Use of Clusters for Fostering
Regional Industrial Modernization, SME Growth Support and Smart Specialisation, report of the European Cluster Observatory, European
Commission

11. Understanding the concept: what is a cluster, a cluster initiative and a cluster
organisation?
a) A cluster is a regional agglomeration
of industry.
Example in the map: region of
Ostwestfalen-Lippe that is home to strong
production and ICT industries
b) Within this regional agglomeration there is
a cluster initiative that facilitates the
development of the cluster: “it’s owl”.
This initiative is represented by a cluster
organisation that connects industry and
academia through a network to facilitate
innovation and value-chain development in the
field of “Industry 4.0”.
www.its-owl.com
Such an organisation that manages a value-
chain network is key to the successful
development of a cluster!
Strong production and ICT-related clusters
in Europe (European Cluster Panorama)

12. Cluster development and management
Business-driven strategy and services
of a cluster organisation

13. Cluster organisation “it’s owl” acts as a catalyst within the cluster: strategy
decides about success!
Source: Technology Network Ostwestfalen Lippe – it’s owl, www.its-owl.de/en/home
➢ Strategy contributes to efficient and
effective R&D project development
and commercialisation of R&D results.
➢ Clear and challenging time frame and
performance targets.
➢ Driven and financially supported by
larger companies in collaboration with
smaller ones and scientific institutions.
Business say want they want!
➢ “Seed-funding” from government, but
substantial co-investment from
industry!
Important: A cluster/cluster organisation is not a
technology or industry park whose purpose is to create
infrastructure including site development (e. g. real
estate) and to provide general R&D/business
development support.

14. Facilitation of innovation through a cluster organisation
Industrial megatrend: digitalization
Business of the company today:
Production and sale of harvesters
Business of the company tomorrow:
Sale of crop yields / precision farming
Transformation of business models and
value chains: company needs support
and collaboration to succeed
Company participates in cluster and
collaborates with other relevant
companies and academia to master
transformation.
Cluster organisation facilitates this
through services within a value-chain
network.
Collaboration effects:
A company with sound knowledge in
harvester engineering teams up with
sensor developers and ICT solution
providers to successfully change the
business model.

15. Example for services: Promoting innovative and high-growth firms through
cluster organisations - strategy-based activities by it’s owl to commercialise
R&D results of the cluster!
Further reading:
• http://www.its-owl.com/projects/sustainability-initiatives/details/startup-companies/
• http://tecup.de/itsowl/
Events and meetings
School of
Entrepreneurship
and Innovation
Coaching and
mentoring
Incubator

16. Introduction to cluster development
Services of a cluster organisation:
Developing projects and “activating” the
cluster: serving the needs of the companies!

17. A quick look at services of cluster organisations: how to develop and activate a
cluster
Source: ESCA 2014; n = 358 cluster organisations from Western EU Members States, 98 from Southern European and 99 cluster
CEE EU Member States

18. Integrated service portfolio for the development of projects and initiatives that
create a powerful and vibrant cluster – developing and activating the cluster!

19. More details on strategies and services
Download at
http://ec.europa.eu/enterprise/initiatives/clust
er/observatory/2014-10-10-eco-report-d4.1.pdf
Download at
http://www.cluster-analysis.org/
downloads/InputPaper_COMWorkshopSeptemb
er_published_140918.pdf

20. Introduction to cluster development
Management standards of cluster
organisations

21. Label criteria: What are we looking at? And what is the rationale behind?
People: cluster management

22. Cluster development and management
Best practice example developing new value
chains in the chemical industry through clusters:
growth and job creation

23. Example: Chemical cluster in Western Europe - How to stay competitive?
Source: Ludo Diels, Antwerp University, VITO, lecture at the European Cluster Conference 2016, Brussels

24. Example: Chemical cluster in Western Europe – How to stay competitive?
1) Understand the pillars of your competitiveness!
Source: Ludo Diels, Antwerp University, VITO, lecture at the European Cluster Conference 2016, Brussels

25. Example: Chemical cluster in Western Europe – How to stay competitive?
2) Understand the new value chains and develop them through strategic
programmes and collaborative projects within the cluster
Source: Ludo Diels, Antwerp University, VITO, lecture at the European Cluster Conference 2016, Brussels

26. Part II)
Government support for cluster development

27. Clusters as a an instrument to develop industry – what is their nature?
Theme- and objective-driven
industrial networks that aim at the
common development of products,
services and processes.
→ emerging industries = new value
chains → “think outside NACE
boxes”!
Framework conditions
(e.g. infrastructure, regulation, work force, level of
education, image, macro economy)
Cluster participants
(business, research, public agencies)
Cluster management organization
Role of policy: enabling the development of such industrial networks by
creating conducive framework conditions and, if necessary, providing
technical and financial assistance through programmes.
…but there is also a role industry is responsible of!

28. Systemic perspective on cluster development through integration of
different policies and programmes
Source: Christensen/Lämmer-Gamp/Meier zu Köcker, 2011: Let‘s make a perfect cluster
policy and cluster programme, Copenhagen/Berlin, p. 19
Framework conditions
(e.g. infrastructure, regulation, work force, level of
education, image, macro economy)
Cluster participants
(business, research, public agencies)
Cluster management organization

29. Government programmes for the development of cluster organisations:
money is the smallest part, technical assistance matters more!
Source: Christensen/Lämmer-Gamp/Meier zu Köcker, 2011: Let‘s make a perfect cluster policy and
cluster programme, Copenhagen/Berlin, p. 19

30. Government support for cluster development
The example of the State of Saxony in Germany

31. Key industrial sectors: automotive, mechanical engineering,
microelectronics/ICT, environmental and energy technologies,
life sciences
Further development
of industrial sectors:
“Innovation Strategy”
→ development of
new value chains by
integrating sectors
and technologies!
Example
Innovation Strategy of Saxony as a basis for cluster development

32. Programme:
Development of cooperation
networks and innovation clusters
that address the target areas of
the Innovation Strategy
Support of cluster organizations as a vehicle for the development of new
value chains: programme with two elements
Element 1: Financial support
• Beneficiary: cluster organisation
• Purpose: establishment and
management of organisation
(staff, office etc.)
• 50% grant
• Up to 10 years
Element 2: Technical assistance
• Beneficiary: cluster organisation
• Purpose: individual assistance with
strategy development, market
analysis, service development
• No money, only advice through
workshops and coaching
• Responsible is a specialised agency:
VDI/VDE Innovation + Technik GmbH

33. Proposal for European-Asian cluster collaboration as a conference follow-up
Europe: 2011 and 2012
NGPExcellence Programme – Nordic Countries, Germany and Poland
collaborated on improving cluster management (benchmarking,
workshops, trainings…)
Why don’t we start a similar programme?
The Asian-European ClusterExcellenceProgramme (AECEP)?

34. Q & A