Hvor kommer de nye arbeidsplassene? Professor Torger Reve Handelshøyskolen BI Greater Stavanger Årskonferansen 08.11.2017
MIT REAP South West Norway 2015-2017 A Bottom-up Initiative from Sørlandets Kompetansefond in cooperation with Greater Stavanger Funded by Regional Foundations and Regional Banks, with main contribution from SR-Bank Foundation
Falling Oil Prices Hit Norwegian Offshore Industries and West Coast Hard
Today negotiation for Chapter 11
6000 5000 4000 3000 2000 1000 0 Peak Jan 2016 Now Next Round
Norwegian Blues
«Winter is Coming» Øystein Olsen, CEO, Central Bank of Norway
«Innovation with a Global Impact»
A Global Regional Entrepreneurship Acceleration Program South West Norway Wales Ashdod Beijing Tokyo Al Madinah Bangkok Santiago
Regional Entrepreneurship Acceleration Process Boston Tokyo Boston Boston
Three forces of industrial transition Innovation Capacity I-Cap Entrepreneurship Capacity E-Cap Cluster Capacity C-Cap
PENTREPRENEURSHIP «You must be risk willing and a little crazy»
$ 50 bill sales 80 000 employees
MIT REAP Project Team SW Norway Academia Government / Industrial Development Entrepreneur Torger Reve Professor BI Champion Mona Skaret Director, Growth Companies and Clusters, Innovation Norway Tom Fedog CEO Stimline Hans Petter Hildre Professor NTNU Alesund Kristin Reitan Husebøe CEO Greater Stavanger Business Region Peter Klemsdal CEO Sorlandet Knowledge Foundation Corporate Capital Tove Ormevik Platform Manager BP Norway Tore Medhus Vice President Corporate Sparebank 1 SR-Bank Kjell O. Johannessen Project Manager Marius Nordkvelde Data Rockstar
MIT REAP South West Norway More than 100 people involved
Building Stronger Innovation Ecosystems GCE Blue Maritime GCE NODE GCE Subsea Greater Stavanger
Number of Start-ups (born after 2003)
Number of Start-ups (born after 2003) with more than 10 employees
Number of Growth Start-ups (born after 2003) with more than 50 employees
Number of Scale-ups (born after 2003) with more than 100 employees Scale-ups come from Clusters and Cities
MIT REAP Emphasizes Scaling for Entrepreneurship to have Economic Effects «From Start-ups to Scale-ups»
NOK 10.5 bill Versus «Torger s Pizza»
MIT REAP Southwest Norway recommendations presented to Minister of Industry at Arendalsuken Aug 2017: Most new jobs created by young firms
Research Project BI MIT: «State of Norwegian Entrepreneurship» Phase 1: Computing total net job creation by private firms, 2003-2014 using Brønnøysund data for all Norwegian firms Phase 2: Computing net job creation, value creation and producitivity of old versus new firms by size group, by industry and by region Phase 3: Add SSB Employee Data Base to identify characteristics of Start-ups and Scale-ups Phase 4: Add project support by Norwegian Research Council, Innovation Norway and SIVA for Start-ups and Scale-ups to analyze effects Research Project funded by Norwegian Research Council, Innovation Norway and SIVA
Research Project BI MIT: «State of Norwegian Entrepreneurship» Total population of firms and employees in private sector (Brønnøysund register). Full time employees in Norway in ASA, AS, DA and ANS, 2003-2014. All other organizational forms excluded. Start-ups and Scale-ups (Young firms): Companies started 2003 2014, that are still operating and active. Start-ups and Scale-ups (Young firms): Only including independent companies, not controlled (50-100 %) by other corporations. Start-up acquisitions excluded. Scale-ups defined as new fiorms with more than 10 employees Research Project funded by Norwegian Research Council, Innovation Norway and SIVA
Net job creation all firms in Norway = 348K Net New Job Creation All Firms 2003 2014 350 000 Net New Jobs
Young Firms Contribute 2/3 of Net Job Creation in Private Sector 220 000 Net New Jobs Net job creation young firms in Norway = 216K 62% of all net job creation are created by young firms
Small Young Firms (<10 employees) Stand for Over Half of Net Job Creation 120 000 Net New Jobs Net job creation by small young firms in Norway = 120K
Young Growth Firms (> 10 Employees) Stand for Almost Half of Entrepreneurship Net Job Creation 100 000 Net New Jobs Net job creation by young growth firms in Norway = 100K
Norwegian common wisdom is «Fake News»
Net Job Creation Norway 2003-2014 250000 200000 150000 100000 50000 220K Jobs Young and Large (Started after 2003 >10 employees) 10% of the firms Young and Small (Started after 2003 <10 employees) 90% of the firms 130K Jobs Old and Large (>10 employees) 33% of the firms 0-50000 -100000 Young Small Large Old and Small (<10 employees) 67% of the firms Old
Too Few Young Firms Become Scale-ups (> 50 Employees) Less than 30 000 Net New Jobs 241firms Net job creation young and large firms in Norway = 28K
3 years old firms in 2009: 55K New Jobs
3 years old firms in 2014: 82K New Jobs Young firms are of growing importance
Professor Lars Kolvereid Nord Universitet, Bodø
From Start-ups to Scale-ups: In Search of Unicorns Sebastian Siemietkowski
Norway Needs an Entrepreneurship Scale-up Strategy
MIT-REAP South West Norway: Scale-up Strategy Build 5-stakeholders Innovation Ecosystems linking West Coast Influence National Innovation Policy toward Scale-up Policy Establish Scale-up Accelerators
In Norway we have relied too long on Triple Helix: Government Business - Academia
Need to build 5 Stakeholders Innovation Ecosystems
Building Innovation Ecosystems Establish Physical Innovation Hub Co-locate the Key Stakeholders Attract Entrepreneurial Talent Develop Scale-up Accelerators Find Venture Capital Challenge Local Capitalists Involve Global Corporate
Influence National Innovation Policy Toward Scale-up Policy Introduce new tax model for investments in scale-ups: Passed in Parliament 2017 Introduce new public-private venture funds in each region: Passed in Parliament 2017 State of Norwegian Entrepreneurship Research Project (BI MIT) to produce Scale-up data
MIT REAP South West Norway: Establish Scale-up Accelerators MIT REAP Entrepreneurship Accelerator Summer School (1 week) MIT REAP Scale-up Accelerator Program (12 weeks) MIT REAP Lab Accelerator Program (2 years)
MIT REAP Entrepreneurship Accelerator Summer School, NTNU Aalesund, Aug 2017 Bill Aulet 80 students (mostly existing entrepreneurs) take part in a one-week world class Entrepreneurship Acceleration Summer School powered by Massachusetts Institute of Technology All four West Coast Regions equally represented
From Oil Service to Renewable Energy: Jan Erik Vikeså and Saga Energy signing 2.5 billion Euro solar energy contract with Iran, Oct 2017
MIT REAP Scale-up Accelerator Program (12 weeks), Spring 2018 Bergen Stavanger Mentoring Prototyping Testing Mentoring Prototyping Testing 4 days Kick-off 4 days Commercialization 4 days Implementation How to commercialize your venture into global markets
Conquering the world by Ocean Space Analytics: Arundo
MIT REAP Lab Acceleration Program (2 years) 2018-2019 Entrepreneur Ocean Lab 2 Entrepreneur Ocean Lab 1 CEO Steering Ocean Lab 3 Entrepreneur Ocean Lab 4 Entrepreneur
MIT REAP West Coast University Consortium
Role of MIT REAP University Consortium Become backbone organization for entrepreneurship scaling Become hubs for regional innovation ecosystems Become providers of entrepreneurship scaling programs
Scale-up Strategy with an Impact Building Stronger Innovation Ecosystems Linking 5 Stakeholders Around Universities Creating Entrepreneurship Scale-up Culture Changing Innovation Policy Focus from Start-ups to Scale-ups Making Norway a Scale-up Nation
Need a change in culture in order to enhance innovation and entrepreneurship Torger Reve, BI and Scott Stern, MIT at Oslo Rector Summit, Oct 2017
Behov for tettere samspill mellom unge bedrifter og etablert næringsliv «Debatten bør handle om hvordan man skaper sterkere innovative økosystem i Norge hvor unge bedrifter i samspill med forskningsmiljøer, investormiljøer og etablert næringsliv klarer å skalere og skape varige og konkurransedyktige arbeidsplasser i Norge» Torger Reve, Amir Sasson og Marius Nordkvelde, DN, 03.10.2017