By Lotte Langkilde, presented at the 17th TCI Global Conference, Monterrey 2014.

1. Cluster Ecosystem Analysis
Case: Emerging Design Cluster in Southern Denmark
Lotte Langkilde
Cluster Labs
11 November 2014

2. Clusterlab:
Ecosystem
analysis
:
Case:
Emerging
Design
cluster
in
Southern
Denmark
Lo8e
Langkilde
and
Thit
Madsen
University
of
Southern
and
D2I
TCI
Monterrey,
Mexico

3. OUTLINE
• Short
introduc:on
• Cluster
Ecosystem
Analysis:
– Model
and
Analysis
• Cluster
Ecosystem
Analysis
in
ac:on
(D2)

4. How
do
you
work
with
strategy
development?
(5
min
discussion)

5. ABOUT
REG
X
:
Danish
Cluster
Academy:
• Jan
2010
-­‐
July
2014:
at
University
of
Southern
Denmark
Mission:
– Increase
the
competences
of
people
working
with
clusters
(policy
makers
and
cluster
managers)
– Put
clusters
on
the
naHonal
agenda
Focus
areas
in
our
work:
– Clusters,
regional
development
and
open
innovaHon

6. REG
X
TRAINHIGH
LEVEL
POLICY
MAKERS
CLUSTER
MANAGERS
ANALYSECLUSTERS
UNDERSTANDCLUSTERS
COLLABORATECLUSTERS
GROW
REGIONAL
ECONOMY

7. ECOSYSTEM
ANALYSIS
• A
model
for
cluster
development
– Analysis
– Strategic
direcHon
– ImplementaHon

8. ECOSYSTEM
ANALYSIS
Welfare
Tech
Design
and
creaHve
industries
Danish
food
cluster
CLEAN
(Energy
efficiency)
Offshore

9. THE
MODEL
www.clusterecosystems.com

10. THE
METHOD
STANDARD
APPROACH
1. IdenHfy
actors
in
the
ecosystem
2. Develop
a
quesHonnaire
(one-­‐2-­‐one
/
electronically
)
3. Interview
40+
actors
about
their
role,
expectaHons
and
collaboraHons
in
the
cluster
4. IdenHfying
strengths
and
challenges
in
the
ecosystem
5. Develop
recommendaHons
for
the
future
development
of
the
clusters
ecosystem
6. Pull
all
the
informaHon
together
in
a
preliminary
report/document
www.clusterecosystems.com
……….BUT

11. THE
METHOD
….THESE
STEPS
ARE
WHAT
MAKES
THE
DIFFERENCE!
1. IniHate
a
dialogue
between
the
ecosystem
actors
early
in
the
process
and
discuss
findings
from
the
analysis
as
the
results
develop
2. Conduct
a
number
of
dialogue
workshops/meeHngs
and
highlight
the
strengths
and
challenges
in
the
ecosystem,
and
get
a
joint
understanding
among
key
ecosystem
actors
of
the
“state-­‐of-­‐the-­‐cluster-­‐ecosystem”
3. IdenHfy
in
collaboraHon
with
the
ecosystem
actors,
ways
to
solve
the
unique
ecosystem
issues
(eg.
CollaboraHon
between
entrepreneurs
and
large
enterprises)
4. Support
a
conHnued
implementaHon
of
the
recommendaHons
from
your
work
www.clusterecosystems.com

12. CASE:
DESIGN2INNOVATE
• BACKGROUND
– Emerging
Picture
here….
design
cluster
in
region
of
Southern
Denmark
– Markets:
B2B,
B2C,
B2P
– “knowledge
cluster”
• Kolding
School
of
Design
&
University
of
Southern
Denmark
– Different
cluster
support
iniHaHves
by
regional
and
naHonal
government
(entrepreneurship,
strategic
design,
research..)
– CompeHng
iniHaHves
in
the
region

13. 40+
INTERVIEWS
!!!"#$%&'()(#*&+&'(,&"#*,

14. SOME
OF
OUR
FINDINGS
STRENGTHS
• Strong
knowledge
base
in
the
region
• New
companies
emerging
• Design
companies
collaborate
with
other
design
companies
on
solving
joint
assignments
(network-­‐based
growth)
• Regional
and
local
focus
on
Design:
Policy
/
Design
City
/
CEO
of
Design
CHALLENGES
• DefiniHon
of
design!
What
are
we
talking
about?
Design
as
a
tool
or
as
a
service/
product?
Who
is
in?
Who
is
not?
• Sporadic
collaboraHon
between
ecosystem
actors
(entrepreneurs,
large
companies,
uniersity,
Kolding
School
of
Design)
• No
obvious
flagskip
company
(Lego=
Toys
for
kids)

15. RECOMMENDATIONS
1. Strenghten
collabora:on
between
actors
in
the
ecosystem
– Develop
a
joint
strategy
for
the
direcHon
of
the
cluster
– Establish
a
neutral
cluster
organisa:on
to
facilitate
collaboraHon
between
actors
in
the
system
– Promote
collabora:on
with
other
clusters
in
the
region
(design
as
an
innovaHon
driver
in
eg.
food,
clean
tech
and
offshore
energy.)

16. RECOMMENDATIONS
2. “Push”
the
use
of
design
thinking
into
regional
businesses
as
a
innova:on
driver
1. Collect
info
from
other
countries
and
carry
out
peer-­‐
reviews
2. Develop
a
“Design
exchange”
where
companies
and
designers
meet
3. Set
up
design
consulta:on
teams:
Mix
local
designers
with
high-­‐brand
design
houses
=>
easier
access
to
local
companies
and
build
up
new
competencies
and
new
networks

17. FINDINGS
3. Strenghten
the
role
of
entrepreneurs
in
the
cluster
– Make
sure
the
designers
are
visible
–
eg
an
annual
presHgious
award
– Increase
business
skills
among
designers
(business
plan,
pitch,
“read
your
customers
expectaHons”,
capital
needs,
current
industry
needs)

18. FINDINGS
4. Strenghten
the
role
of
the
knowledge-­‐ins:tu:ons
and
promote
collabora:on
between
the
ins:tu:ons
4. More
focus
on
interna:onal
visibility
and
int.
collabora:on
5. Strenghten
the
role
of
the
students
in
the
cluster
and
collaborate
om
matchmaking
students
and
regional
companies
(few
jobs
and
students
leave
the
region)

19. FINDINGS
5. Strategic
design
as
a
tool
for
solving
global
challenges
– Collect
info
from
global
strategic-­‐designhubs
and
idenHfy
future
partners
– Develop
/
test
1-­‐2
pilots
in
collaboraHon
with
other
clusters
–
and
use
design
as
the
tool
in
the
innovaHon
process

20. SUM
UP
• Clusters
in
regional
development
– Ecosystem
analysis
=>
recommendaHons
to
development
of
the
regional
clusters
– Discussions
with
network-­‐
/
cluster
organisaHons
– New
strategic
direcHons
for
the
cluster
– Bu8om-­‐up
process
– New
opportuniHes
for
cross-­‐cluster
collaboraHon
(design
as
an
innovaHon
driver
in
energy,
offshore
and
food..)
Want
to
know
more…?
– www.clusterecosystems.dk
and
www.regx.dk

21. "
"
Cluster Lab"
Cluster Eco System Analysis"
"
Thit Juul Madsen, head of secretariat, D2i"
#tci2014, Monterrey "

22. D2i – The Danish Design Cluster"

23. The Region of Southern Denmark"
Regional smart specialisation"
D2i - Design to innovate
Design-Driven
Innovation"
"
www.d2i.dk"
Welfare Tech
Health- and Social
Innovation"
"
www.welfaretech.dk"
CLEAN
Sustainable energy"
"
www.offshoreenergy.dk"
Offshoreenergy.dk
Oil & Gas and
Renewables"
"
www.offshoreenergy.dk"

24. The value of design"
Design-Driven Companies
outperfom S&P by 228% over a 10
year period according to the DMI
Design Value Index"
Design
Management
Institute 2013"
A Swedish study of 300 companies
over a 8 year period, shows up to
50% better profits for companies that
use design."
Profitability"
16,0"
12,0"
8,0"
4,0"
0,0"
2006" 2007" 2008" 2009" 2010"
No design use"
Strategic
Teknikföretagen
2011"
There is a 22% difference in value
between companies using design
as an integral part of innovation
and development processes, and
companies that only use design
as styling and finish."
Erhvervs- og
Byggestyrelsen
2008"
The Design Council Design Index
shows the design aware
companies has out-performed the
FTSE 100 by more than 200%
over the past decade."
Design
Council
2007"

25. A Design"

26. To Design"

27. Strategic Design"
Surrounding"
World"
Unfocused" Unrealistic"
Strategic"
Design"
Resources" Strategy"
Irrelevant"

28. Why in Southern Denmark?"
Investors"
"
Businesses"
Large & SMEʼs"
Innovation & "
design consultancies"
Kolding School "
of Design"
"University of "
Southern Denmark"
Organizations"
Regional authorities"

29. The partners behind D2i"
/ LEGO Group"
/ Bjert Invest"
/ Dong Energy"
/ Design School Kolding"
/ University of Southern Denmark"
/ The Region of Southern Denmark"

30. D2i"
/ As a design cluster
A formation of large and smaller companies
University, business and trade schools and
world class design school"
/ An innovation programme
A large scale innovation programme
embedding design capabilities"

31. The services D2i offer"
/ Design Updates"
/ Design training programmes "
/ Design workshops and seminars"
/ Design consultations"
/ Design Camps"
/ Methods, tools and models"
/ Research papers and reports"
"

32. in specific departments
Top management
- on the strategic agenda
D2i - New Knowledge"
Both internal
and external
designers
Internal
designers/
design
department
External
designers
engaged
No
designers
employed
Design is seen as
a possibility
No one
Technology
driven innovation
Supplyer
driven innovation
Market (user/customer)
driven innovation
Design driven innovation
(vision, market og technology)
5. Design capabilities
Design capabilities
originate from?
4. Innovation drivers
What drives the
innovation processes?
in internal processes
Design is used in?
Strategy and
management
Innovation projects
Production processes
3. Engagement of users
How are users engaged?
Not important
No engagement
Product and service develop-ment,
including finish and styling
Marketing
User surveys and user feed-back
User observations
and focus groups
Users are engaged in
processes in the company
User communities
and lead users
D2i © 2014

33. D2i - New Competencies"

34. Connecting the dots"

35. The right foundation and good results"
Companies"
/ More than 300 SMEs (over 1.000 persons)
participating in:"
/ Design introductions"
/ Design Camps"
/ Sustainability processes"
/ Research projects
Other clusters"
/ CLEAN"
/ Welfare Tech"
/ OffshoreEnergy.dk
Research & Education"
/ University of Southern Denmark"
/ Design School Kolding
/ University College South
/ Business Academy South
Funding & Captial"
/ Region of Southern Denmark Growth Forum"
/ Bjert Invest
In the future also:!
/ Interreg 5A"
/ Horizon 2020"
/ Creative Europe"
/ COSME
Public"
/ Region of Southern Denmark
/ Invest in Denmark
/ Danish Design and Architecture Initiative"
/ Municipality of Kolding"
/ Municipality of Billund

36. Companies Utilise Design"
2010" 2013"
54%"
46%"
Companies that utilise design"
68%"
32%"
The percentage of companies in the Region of Southern
Denmark that utilise design has risen from 54 per cent to 68
per cent from 2010 to 2013.
Source — The Region of Southern Denmark, 2014 "

37. Changing expectations"
Percentage of companies in the Region of Southern Denmark
who expect:
71"
39"
57"
35"
44"
59"
31"
35"
8"
21"
0" 20" 40" 60" 80"
An increased turnover"
More employees"
Greater exports"
To make new investments"
To launch new products and services"
Companies that utilise design"
Companies in the Region of Southern Denmark who utilise
design believe themselves to perform better than companies
that do not utilise design.
Source — The Region of Southern Denmark, 2014 "

38. CASE: ISOVER"
Insulation materials"
Used strategic design to: "
/ Move from product sales to
project sales"
/ Create new revenue streams on
services and consulting"
/ Move up the value chain"
"
ISOVER"
Headquarter" Vamdrup"
Established" 1935"
Emloyees" 205"
Turnover (2012)" EUR 46 mio."

39. CASE: EASYFOOD"
Convenience foods"
Used strategic design to:"
/ Engage employees in product
development "
/ Divide products into “collections”"
/ Differentiate products on quality
and price"
/ Reduced waste and increased
revenues"
/ Increase local job creation "
EASYFOOD"
Headquarter" Kolding"
Established" 2000"
Emloyees" 103"
Turnover (2012)" EUR 24 mio."

40. Whatʼs next for D2i?"
D2i is moving into a new phase – Version 2.0"
"
Developing from project to cluster organisation"
"
The role of D2i is strategic planning and coordinating
with all the players in the design cluster"
"
Establishing partnerships and securing funding
"

41. Tools to move forward"

42. A strategy for the future"
Apply design as tool for growth"
"
Embed design capabilities in
SMEs"
"
Connect design supply and
demand"
"
Create innovation platforms"
"
Create at strong design
environment around the design
campus"
"
Communicate the value of
design"
"

43. Internationalisation"
We are interested in international
collaborations and co-operation
projects"
"
In areas where design can make a
difference "
"
To help foster innovation and drive
change"
"
"

44. Curious about strategic design?"
www.D2i.dk "

45. Thank you!"
Get in touch"
thit@d2i.dk"
www.d2i.dk"

46. DISCUSSION
How
relevant
is
the
model
for
you?

47. THANK
YOU!