TCI 2014 Is Cluster promotion an obvious or complex endeavor?

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The document discusses whether cluster promotion is an obvious or complex endeavor. It argues that clusters are complex systems that evolve over time due to factors like globalization and increased uncertainty. As complex systems, clusters require different management approaches than treating problems as simple or complicated. Specifically, cluster managers need to act like chefs and experiment to deal with complexity, rather than relying solely on strategic planning. The document also notes that clusters can facilitate accidental discoveries and innovations through localized networks and interactions, though interventionist policies may discourage serendipity. Overall, it suggests cluster promotion requires recognizing complexity and adopting new paradigms for understanding and communicating about clusters.

Economy & Finance

Is Cluster promotion an obvious or complex endeavor?
Ulrich Harmes-Liedtke
Academic 3: The Evolution of Cluster: from the Competitive Advantage
of Nations to the Cluster Initiatives Greenbook 2.0
12 November 2014

IS CLUSTER PROMOTION AN OBVIOUS
OR COMPLEX ENDEAVOR?
ULRICH HARMES-LIEDTKE

NEW PERCEPTION
CLUSTERS ARE COMPLEX SYSTEMS
17 TH TCI GLOBAL CONFERENCE | CREATING SHARED VALUE THROUGH CLUSTERS FOR A SUSTAINABLE FUTURE
1

CLUSTERS ARE COMPLEX SYSTEMS
Source: MATTA, A. 2012

Cluster emerge, evolve and increase complexity
The cluster community recognizes more and more
evolutionary character clusters.
Source: Cluster policy Whitebook,Andersson, Schwaag-Serger et al. 2004

CHARACTERISTICS OF
COMPLEX SYSTEMS
Source:
ANDRUS, D.C. 2005

Simple Complicated Complex
Baking a cake Sending a rocket to the
moon
Raising a child
Right recipe is essential
Gives the same result every
time
Formulas needed
Experience built over time
and can be repeated with
success
No right recipes or
protocols
Outside factors influence
Experience helps, but does
not guarantee success
DIFFERENT TYPES OF PROBLEMS
In cluster management we treat problems mostly as simple or complicated

WHY COMPLEXITY IS
INCREASING?
Move from the industrial era of mass production to
the knowledge society
Globalization of people and trade
New challenges in context of climate change,
epidemics and wars
In general: increased uncertainty and vulnerability

SENSE MAKING
DEALING WITH CLUSTER COMPLEXITY
17 TH TCI GLOBAL CONFERENCE | CREATING SHARED VALUE THROUGH CLUSTERS FOR A SUSTAINABLE FUTURE
2

NOT EVERYTHING IS COMPLEX
Source: Dave Snowden/
Cognitive Edge

SAFE-TO-FAIL-PROBES
Source:
auralab.co.uk

RECIPES AND CHEFS
In complexity the Cluster Manager need to act as a chef

BEYOND STRATEGIC PLANNING
CLUSTER POLICY IMPLICATIONS
17 TH TCI GLOBAL CONFERENCE | CREATING SHARED VALUE THROUGH CLUSTERS FOR A SUSTAINABLE FUTURE
3

Conceptualization of
Cluster evolution
Resilience refers to the
capacity of firms to respond
flexibly to shocks internal and
external to a cluster
Resource accumulation
refers to increase productive,
knowledge and institutional
capital over time
Connectedness refers to the
extend of traded and
untraded interdependencies
between cluster firms
Source: MARTIN, R. & SUNLEY, P. 2011

SERENDIPITY OR
THE "PLEASANT SURPRISE"
 Finding something without looking
for it.
 The Three Princes of Serendip were
always making discoveries, by
accidents and sagacity, of things they
were not in quest of.
 Alexander Fleming, discovered by
accident penicillin (1928)
Source: Robert K. Merton &
Elinor Barber, 2006

CLUSTERS, INNOVATION AND
POLICY
 Clusters have a higher rate of innovation,
because knowledge and skills come from
localized social networks
 Clusters increase probability of accidental
discoveries and recombinant innovations
 Interventionist policies negate conditions
that facilitate the occurrence of
serendipitous events
Source: karostech.fi
 An alternative is to favor experimentation and
provide a favorable environment where
emerging clusters can operate successfully

CONCLUSIONS
A NEW PARADIGM?
17 TH TCI GLOBAL CONFERENCE | CREATING SHARED VALUE THROUGH CLUSTERS FOR A SUSTAINABLE FUTURE
4

THERE IS NO NEED TO START
FROM SCRATCH, BUT…
 We need to
o be more aware of complexity
o be able to identify complex situation
o don’t seek for early consensus
o find simple ways to understand and communicate
complex situations

MOVING IN COMPLEXITY
SHOULDN'T BE COMPLICATED
Source: @gapingvoid

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