Science and innovation agenda

science and innovation investment framework and how are science technology invention and innovation defined
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DrLaurenHepburn,United Kingdom,Researcher
Published Date:07-07-2017
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RESEARCH FOR INNO VATION Strategy on Scientific and Technological Development of the Republic of Serbia for the period 2016 – 2020 Ministry of Education, Science and Technological Development of Republic of SerbiaS tr a tegy RESEARCH FOR INNOVATION ON SCIENTIFIC AND TECHNOLOGICAL DEVELOPMENT OF THE REPUBLIC OF SERBIA FOR THE PERIOD 2016 – 2020 „ INTRODUCTORY REMARKS Science and innovation are key factors of competitiveness and sustainable development. The main preconditions for the creation of an innovative society of knowledge are the ex- cellence and relevance of scientific and research results. Excellence is a measure of quality and international visibility of scientific and research results, and the relevance represents the impact of the scientific and research results on the economy and society. The Strategy on Scientific and Technological Development of the Republic of Serbia for the period 2016 – 2020 – Research for Innovation (hereinafter: the Strategy) is a document which sets out measures and programs for the promotion of excellence in science and targeted re- search for the development of economy and society as a whole, in the next five years. Strtegya ViSion Within five years, science in the Republic of Serbia will be based on a competitive system that supports excellence in science and its relevance to economic development, competi- tiveness of the Serbian Economy, and development of society as a whole. Strtegya MiSSion The establishment of an effective national research system integrated into the European Research Area which leans on the partnerships in the country and abroad, and which con- tributes to the economic growth, social and cultural progress, raising the standard of living and quality of life. Institutional and strategic framework of the Strategy is based on the acknowledgement of the role of science, technological development and innovation in the socio-economic and overall development of the country, with a clear emphasis on the quality of education and research staff and competitive research for innovation. The Strategy relies in part on the pos- itive experiences of the Strategy on Scientific and Technological Development of the Repub - 5 lic of Serbia for the period 2010 – 2015, and the current sectoral development strategies and other strategic development documents and policies, and it is associated with regional EU programs and strategies, in particular, in determining the development priorities (Strategy for Education Development in Serbia 2020, Strategy and Policy on Industry Development of the Republic of Serbia 2011 – 2020, Strategy for Support of Development of SMEs, Entrepre- neurship and Competitiveness 2015 – 2020, Strategy for Agriculture and Rural Development 2014 – 2026, Strategy for Information Society Development in the Republic of Serbia until 2020, Strategy on Development of Intellectual Property for the period 2011 – 2015, Strategy for South East Europe 2020 (SEE 2020), Western Balkans Research and Innovation Strategy (WISE), Strategy for the Danube Region, Lisbon Strategy, Horizon 2020, etc. At the same time, the Strategy is a national road map for integration into the European Research Area, since it accepts and sets out measures for achieving priorities and objectives defined in the roadmap of the European Research Area. The essential novelty of this Strategy is that it focuses around the “research for innovation”, in the function of economic and overall social development of the country. In legal terms, the Strategy is in line with the Law on Scientific Research and the Law on Innovation and the bylaws adopted on the basis of those laws, as well as with the Law on Higher Education and other relevant systemic laws and regulations. Structurally, the text of the Strategy contains the following sections: I. INTRODUCTORY RE- MARKS; II. ABBREVIATIONS; III. STRATEGIC OBJECTIVES OF THE REPUBLIC OF SERBIA IN SCI- ENCE AND INNOVATION FOR THE PERIOD 2016 – 2020; IV. GUIDELINES FOR STRATEGY IM- PLEMENTATION; V. ADOPTION OF THE ACTION PLAN FOR STRATEGY IMPLEMENTATION; VI. FINAL PROVISION. Annex I – “SCIENCE AND INNOVATION IN THE REPUBLIC OF SERBIA TODAY” forms an integral part of the Strategy. „ ABBREVIATIONS • ЕBRD – European Bank for Reconstruction • ОЕCD – Organization for Economic and Development Cooperation and Development • ЕC – European Commission• BR – Basic research • ЕU – European Union• FP7 – Seventh Framework Programme for Research and Technological Development • ЕRA – European Research Area • TD – Technological Development • IIR – Integrated and Interdisciplinary Research • IPO – Intellectual Property Office • IF – Innovation Fund • ЕPO – European Patent Office • SRO – Scientific Research Organization NIS – National Innovation System• TTF – Technology Transfer Facility 6 • SMEs – Small and medium-sized enterprises RESEARCH FOR INNOVATION„ STRATEGIC OBJECTIVES OF THE REPUBLIC OF SERBIA IN SCIENCE AND INNOVATION FOR THE PERIOD 2016 – 2020 General analysis of the situation in science, technological development and innovation ac- tivities in the Republic of Serbia, as well as the analysis of the implementation of the Strategy on Scientific and Technological Development of the Republic of Serbia for the period 2010 – 2015 and its achieved targets and results (Annex) shows that the Republic of Serbia has sci- entific and research potential and that, in times of economic recession and lack of material and financial resources, significant results were achieved in many areas, above all, in the ex - cellence in scientific research and the number of scientific papers published in international journals and establishment of new technological enterprises that improve the position of Serbia in the global economy. The analysis of the implementation of the Strategy on Scientific and Technological Develop - ment of the Republic of Serbia for the period 2010 – 2015 and the achieved results, as well as on the state of science as a whole, is presented in Annex – “SCIENCE AND INNOVATION IN THE REPUBLIC OF SERBIA TODAY”, and it contains the following conclusions: 1. The excellence of scientific research and their relevance to the economic and social development of the country and society as a whole are not sufficiently supported through the system of research funding; 2. There are no adequate financial instruments, nor the institutional framework for linking science with industry and the public sector; 3. The system of management of the scientific and innovation system is not sufficiently effective, and there is little coordination of work in the relevant institutions and different stakeholders; 4. There is a lack of adequate human resources in scientific research organisations, industry, public sector, and there are no long-term measures to address this problem; 5. Although there are programmes to support international cooperation, science in the Republic of Serbia is not fully integrated into the European Research Area and the insufficient number of scientists participate in international projects. The economy and society must step into the new field of development, based on science and in an environment that stimulates economic and technological and socio-cultural inno- vation, so that the Republic of Serbia could improve its competitiveness at the global level. 7X the creation of new knowledge, development of THE OVERALL new and improvement of the existing technologies, OBJECTIVE OF solving complex social and economic problems and THE STRATEGY the definition of the economic specialization of the is to improve the efficiency country; and effectiveness of the scientific research system X education of high quality research personnel that will which will allow: be able to use their knowledge and scientific resear - ch activities in order to create new values, design and generate economic and overall social development. In order to achieve the defined vision and mission, this Strategy defines six specific objectives, as follows: 1. Encouraging excellence and relevance of scientific research in the Republic of Serbia; 2. Strengthening the connection between science, economy and society to encourage innovation; 3. Establishing an effective management system for science and innovation in the Republic of Serbia; 4. Ensuring excellence and the availability of human resources for science and economy and social affairs; 5. Improving international cooperation in the field of science and innovation; 6. Increasing investment in research and development through public funding and encouraging the investments of the business sector in research and development. The task of the ministry responsible for science and technological development (hereinafter: the Ministry) is to prepare and implement a set of measures that will create conditions for the reali- zation of these objectives. ENCOURAGING ExCELLENCE AND RELEVANCE OF 1 SCIENTIFIC RESEARCH IN THE REPUBLIC OF SERBIA Research in the Republic of Serbia shows high quality and covers broad scientific fields, but they are not sufficiently focused on excellence and the application of research results in practice. For faster social and economic development of the country, it would be necessary to provide significant impact of science, enhancing the excellence and relevance of scien- tific research. X MEASURES TO ACHIEVE THIS OBJECTIVE ARE: 1. Strengthening of basic research Excellence in science is the foundation of an innovative knowledge society, whereby the 8 most significant contribution is provided by the basic – fundamental research. Excellence in all areas of basic research, which are a precondition for overall development, will be sup- ported by directing funds towards more successful research teams that achieve outstanding scientific results, contribute to increasing the international visibility and competitiveness of Serbian science. The primary goal of basic research will remain a systematic search for new knowledge that solve new or existing scientific problems, prove new ideas and develop new theories. In addition, basic research will pursue its essential role in the education of high-quality scientific and technical staff, strengthening international scientific cooperation and participation in the development of new technologies. This research is the result of re- searcher’s curiosity, and it will not be conditional on predefined priorities and topics, and the support for their autonomous development will be implemented by universities, research institutes, Serbian Academy of Sciences and Arts and Matica Srpska. 2. Introduction of targeted basic research Targeted basic research is introduced, and it is oriented toward solving social challenges and needs of the society for solving specific problems. Therefore, according to the “top down” principle of project financing, this research will take place within the thematic framework determined by the Ministry of Education, Science and Technological Development, in con- sultation with other relevant ministries. This type of research will be used to implement coordinated partnership projects between two or more ministries, which will be focused on solving complex problems and significant social challenges, which will contribute to the optimal use of budgetary funds for funding of research and development. Research will be conducted in the field of economic develop - ment, market systems and enterprise operation. In social and human sciences, research of this type will be directed towards the develop- ment of cultural, historical and national identity and preservation of the national heritage (Serbian language, national history, spiritual heritage, etc.). In addition, research will be con- ducted in the field of public policy, education, national security, environment, sustainable development, human and minority rights, health care, the right to use water, energy and im- provement of education and other civilization standards in the Serbian society. The projects that have a multidisciplinary approach to research will be supported 3. Improvement of technical and technological research In the area of technical and technological sciences, research will be focuses on the develop- ment of new and improvement of the existing technologies, products and services. Joint re- search projects with the industry will be introduced in the area of technical and technologi- cal research. Thematic frameworks will be determined through a wide consultation process with the scientific community and industry, in order to define the key areas of research, and in whose implementation will participate joint research teams of science and industry, or economic and other entities will financially support the research of immediate interest. The projects will solve practical problems within thematic areas for predetermined end-users, so that at the same time they reflect the needs of the economy and the possibilities of science. Special support will be given to joint research projects between science and industry, since direct interaction during the research itself accelerates the development of new products, 9it helps reach a higher level of technological readiness and it shortens the time needed for their commercialization. 4. Improving the system of evaluation of scientific research The improved system of evaluation shall encourage and promote scientific excellence, as well as the social and economic relevance of research and will be defined with the appre - ciation of the differences that exist in the areas of science, such as: natural sciences and mathematics and medicine, technical and technological and social and human sciences. Changes to the system of evaluation of scientific research will include: the introduction of new categories of scientific research results, more precise definition of the value of existing categories and re-categorization of scientific journals. Scientific excellence and its evaluation are the main assumptions that the knowledge that exists and occurs at the universities and institutes is internationally competitive and that it creates new scientific value, so the results published in the top international journals (jour - nals with high impact factor values) will be especially valued which will improve the param- eters of scientific excellence: citation and Hirsch index (of individual researchers, financed projects and the overall scientific research system of the Republic of Serbia). Evaluation of research in the fields of social and human sciences will support, in addition to publishing results in scientific journals and monographs and the application of the research results in practice, through performed expertise on the international and national level. This will increase the impact of these sciences on society and the development of social inno- vation. Evaluation of results in the field of technical and technological sciences will, aside from sci- entific papers, evaluate patents, new reviewed technical solutions and other results that have practical application, such as the licensing of patents, technology transfer, agreements on the use and development of technology, advisory services, establishment of technology companies, etc. The evaluation criteria will be a good incentive for researchers and research teams and they will enable the recognition of excellence. New evaluation procedures will be established (international review, public panels, etc.) that will take place in various stages of research independently and with the maximum possible participation of international experts, with the use of good practices and standards devel- oped in the European Research Area (ERA). The existing databases will be improved and made publicly available, in particular the regis- try of funded researchers, the registry of funded projects, as well as other registries of impor- tance for research and innovation. 5. Changes in the model of financing scientific research The system of financing of scientific research will be reformed, in order to improve the sys- tem, to ensure stable funding and to ensure that the budget funds are used in an efficient and optimal manner. Changes in the system of financing will include the improvement of 10 RESEARCH FOR INNOVATIONexisting ways of project financing and development of a new model of financing, and it will be implemented in two phases. In the first phase, the existing model of project financing will be improved – application in 2016. A new system of allocation of funds in project financing will be introduced, and the funds intended for the material costs of research will be increased. Of the total funding for projects, at least 20% will be allocated to finance direct material costs of research, which will provide better quality, more extensive and more comprehensive research. The current model of project financing will be improved through increased competition and introduction of additional criteria that will evaluate: the scope and quality of research, scien- tific and interdisciplinary cooperation, cooperation with the industry and social activities. In the process of selection of project, their periodic and final assessment will contain a set of quantitative performance indicators. The selection of projects for funding and the monitor- ing process will be transparent, and the research results will be publicly available to the local and international public. The duration of projects, the criteria for evaluation and selection procedure are stipulated by the law and other relevant bylaws. In the second phase, from 2016 – 2019, a combined model of financing will be developed “project-institutional funding model”, whose implementation should begin in 2019. The second phase will include the development of the model aligned with the reform of the research system. The ultimate goal of the reform of financing of scientific research is to establish a balanced mix of projects and institutional funding. Institutional funding will have two components: basic, which will provide stable financing; and developmental, which will depend on the degree of fulfillment of the performance parameters. The implementation of this model will follow after a detailed analysis with the adoption of appropriate amendments to laws and bylaws which will regulated the matter of the new model of financing. 6. Establishing the Fund for Research Promotion The Fund for Research Promotion will be established, with the aim to support the (co-) funding of research, and development and training of research staff. The Fund will support research and development projects aimed at young talented researchers, returnees who have been at renowned research institutions in the world and strengthen the link with the scientific diaspora through the establishment of joint projects and other forms of scientific and technological cooperation.The Fund will be established from the budgetary and donor funds. The funds required for the Fund to encourage research in the coming period will be planned within the budget limits, given the limited possibilities of the budget balance or the Repub- lic of Serbia and implementation of fiscal consolidation measures. 117. Development of scientific research infrastructure Providing high-quality research equipment and infrastructure are the main preconditions, not only for good quality scientific research, but also for technological and innovative devel- opment as well. Investments in research and development infrastructure will be implemented through a clear and transparent mechanism to ensure the implementation of strategic objectives and prevent further fragmentation of research infrastructure. The objectives of the project “Re- search and Development in the Public Sector” will be redefined and efficient and rational use of the loan proceeds (EIB and CEB) will be ensured, as well as new resources that will be provided from the budget, donations or other sources. The Centre for Stem Cells, Nanocentre and other centres whose construction started, and which have a research potential and link several research institutions, will be finished and put into operation. Further development will be directed towards the centres of excellence that will be equipped with infrastructure so that they can be an integral part of the European network of centres of excellence. The existing infrastructure will be assessed, and the register of research equipment will be established, with the specified conditions of use, operational support for the functioning and maintenance. Research equipment will be made available to small and medium-sized enterprises (SMEs) and other users, especially start-ups that participated in the innovation support programme. Strategic plan for the development of scientific infrastructure in the Republic of Serbia will be developed, as well as the access to the use of larger equipment systems at the regional level in the Western Balkans. The procedures for procurement of equipment and the general efficiency of the Project Management Unit will be analysed and improved. 8. Promotion of science and innovation Special dimension of development of culture of dialogue between science, technology and society is related to better communication within the research sector with the industry, oth- er ministries, civil sector and society as a whole. Centre for the Promotion of Science, scientific research community, interested business or - ganisations and non-governmental organisations will organize campaigns and actions to promote the development of an innovative knowledge society. Academic and other scientific organisations will include in their development plans strat - egies for dissemination of scientific, technological and innovation culture, through the de - velopment of communication with mass media, programmes for reception of students and teachers during the open days in an institution, etc. Calls for research projects will include activities related to spreading of the scientific and technological culture. Internet portals of projects will contain notifications that will inform the general public about the benefits of the research conducted. It is planned to establish regional centres for the promotion of science and interactive sci- ence centre in Belgrade, as a meeting place for citizens with science and technology, re- search institutions and industry, and, in particular, talented pupils and students with innova- tive and new approaches to learning and mastering scientific methodology. 12 RESEARCH FOR INNOVATIONThe competition for the best technological innovation will be improved through defining of detailed criteria for selection, evaluation and rewarding of the best annual technological innovation. The competition to select the best technological innovation will include several countries of the Western Balkans, and it will also include, as a follow-up activity, the compe- tition among pupils (“Pupil Innovator”) and students (“Student Innovator”). X Key perforM ance indicortS a : The excellence of scientific research: 1. The number of papers per year in the WoSnetwork per 1000 researchers; 2. The number and share of scientific papers in relation to the total number of papers in high-impact journals (first 10% and 30% of the journals in the field); 3. The number and share of national publications in the 20% of the most cited publications in the field; 4. The number and share of monographs of prominent foreign publishers in relation to the total number of monographs; 5. The number of monographs in national, cultural and historical sciences in Serbian language and the languages of national minorities and ethnic communities; 6. The number and share of Serbian scientists at leading international conferences; 7. The average number of citations per paper without self-citations: 8. The total number of citations without self-citations; 9. The Hirsch index – over a longer period. The relevance of scientific research: 1. The number of patent applications/patents or other forms of intellectual property (domestic or international); 2. Co-authorship/Invention with researchers from industry or the public sector; 3. Expertise on international or national plan (with the confirmation of the Scientific Committee); 4. Participation in commissioned projects (of domestic or foreign party from the public or donor organisations); 5. The share of projects realized with the participation of the private or public sector; 6. Revenue from the knowledge transfer; 7. The level of private sector investments in the establishment of new technology companies; 8. Revenues generated by the research from international organisations or private sector (national and international). 13 A number of indicators of excellence and relevance are shown in other parts of the Strategy STRENGTHENING THE LINK BETWEEN SCIENCE, ECONOMY 2 AND SOCIETY TO ENCOURAGE INNOVATION Better connections between scientific research organisations and industry accelerates the development of technological innovation, and a connection between science, art and tech- nology on one side with the new business models and practice on the other side, opens up new opportunities for the development of social innovation. For these reasons, the estab- lishment of these links will be supported, both in the process of creating new intellectual property, and in different stages of development of new products, services and technolo - gies. X MEASURES THAT wILL BE USED TO ACHIEVE THIS OBJECTIVE ARE: 1. Encouraging the application of scientific research results There shall be a mechanism of budget support or co-financed support to those scientific research results that have the potential for commercial use, and which are in an advanced stage of development of products, technologies or services. Priority will be given to those scientific results that have reached a higher level of technological readiness for implemen- tation. 2. Strengthening the work of the Innovation Fund Improving the links between scientific research organisations and business entities will take place through the work and activities of the Innovation Fund. The activities of the Innovation Fund in encouraging innovative activities through financing of projects of companies and scientific research organisations in the Republic of Serbia will be strengthened by providing funds through the following mechanisms: budget support, through cooperation with inter- national financial institutions, organisations, donors and private sector participation. 3. Further development of the Serbia Innovation Project The performance of the Innovation Project in the Republic of Serbia confirmed the need for this form of support to continue, as it directly leads to the creation of new intellectual property with a real market value, which is reflected in the successful commercialization of new products, services and technologies, as well as the creation of a significant number of sustainable jobs for people with higher education. Also, these programmes provide another model of inclusion of researchers and scientific research organisations in the innovation pro - cess and the establishment of international cooperation with partners and clients. The Mini Grants Programmewill be strengthened, and it is intended for micro and small enterprises in the Republic of Serbia, and this Programme contains technological innovation. Additional funds will be provided for the implementation of the Matching Grants Programme, incentiv- izing existing companies in the Republic of Serbia to continue investments in research and development, and to base their further growth and competitiveness in the international 14 market on innovative products, services and technologies.4. Establishment of joint innovation projects of the private sector and scientific research organisations One of the primary tasks of restructuring R&D system of the Republic of Serbia and the con- struction of the national innovation system is to increase the level of involvement of R&D potential in enterprises. One of the support mechanisms for inclusion of part of the R&D potential in the enterprises is realized through joint technological development projects of private companies and scientific research organisations. A mechanism will be established that will provide incentives for intensive project cooper- ation between the private sector and scientific research community, in order to create a new market-oriented products, services and technologies that have the potential for com- mercialization. This funding mechanism will include commercial projects and early develop- ment of technology that is still not ready for the market. These projects will be implemented by a consortium composed of at least one Serbian company from the private sector, with the leadership role, and at least one accredited scientific organisation as a partner. Co-fi- nancing of projects by the beneficiaries will be required, at it will be at least 30% of the total project budget. The project selection process will be competitive, public and conducted with the International Review based on the model used under the Mini and Matching Grants Programmes. 5. Improving the transfer of knowledge and technology In order to ensure even closer cooperation between scientific research organisations and the private sector, a Technology Transfer Facility will be supported within the Innovation Fund. With the support of international experts, the TTF will link scientific research organisations and university offices for technology transfer with the investors and buyers from the private sector, in order to allow the transfer of intellectual property, from the academic sphere into practical use in the economy. These processes will ensure the creation of value for scientific organisations through new models for the implementation of the existing and newly devel- oped technology, generating revenues from licensing, expanding the range of services that can be provided to the private sector (ordered research, testing, etc.) and further incentiviz- ing of researchers to carry out their primary activities. Financial support will be provided for further development of those projects that show commercial and technological potential, but require additional research in order to raise their level of readiness for commercialization. Also, the operation of the Technology Transfer Facility will enable further strengthening of the capacity of the existing TT offices in universities, which will lead to a better evaluation and greater visibility of the results of applied research in scientific research organisations. In order to improve the relevance of research in the Republic of Serbia and raising their technological readiness to be as close to the market conditions as possible and to enable their commercialization and application in the economy, the Proof of Concept programme will be developed during the second year of implementation of this Strategy. State-owned universities in the Republic of Serbia will develop a Guide for the Implementation of the “PoC” programme and it will be piloted in selected research groups, and for these groups additional valuation of intellectual property and the strategy for commercialization will be done under the programme. 156. Encouraging the establishment of companies based on the scientific research work (“spin-off“) For the further development and application of scientific research results it is necessary to establish a mechanism for direct support to the establishment of “spin-off”companies from research organisations, which hasn’t been supported so far. Incentives to these companies while seeking further forms of investments and development capital represents an advanced form of support to technology transfer, innovative entrepreneurship and applied research and development. In order to create conditions for the development of these companies, it is necessary, first of all, to regulate this area in order to achieve efficient management and commercial exploitation of intellectual property resulting from the publicly-funded scientif- ic research organisations, such as universities, faculties and institutes, and also, to maximize the return effects for the state and development of society. In this process it is necessary to develop financial instruments available for the early development of innovative companies, such as special programmes and funds that promote the establishment and rapid develop- ment of these companies. This programme will be a complementary measure to the existing instruments and funding programmes, by increasing the number of innovative young companies in the Republic of Serbia that could be eligible candidates for further support, growth and development. The establishment and development of spin-off companies will be an important element in re - taining young people, because these enterprises (spin-off ) usually follow the idea that was generated in the work process of a research institution and they can be the new generator of employment and increasing the share of small companies in the economy. 7. Establishing a public-private partnership In order to enable the implementation of advanced results and creation of new models of development in the context of the relevance of science and research in the Republic of Serbia, it is necessary to expand the range of available support mechanisms and incentives. Public-private partnerships are a form of cooperation between the public sector and private companies and investors, in order to reduce the risk and increase the potential for the ben- efit of society as a whole, through the achievement of measurable and precisely defined socio-economic (and other positive outsourced) benefits. Public-private partnerships will increase the contribution of the private sector in the financing of innovation, scientific and technological development and research. In terms of science, research and innovation, one form of such cooperation has already been initiated in the Republic of Serbia through the Western Balkans Enterprise Development and Innovation Facility (WB EDIF). This programme will support the component Enterprise Inno- vation Fund (ENIF), in order to utilize the synergies of regional integration and regional de- velopment initiatives in the field of research and scientific and technological development. The Enterprise Innovation Fund is the first venture capital fund for financing of innovative small and medium enterprises in the initial stage of development. It is necessary to provide continuous support of the state in this mechanism, which will have complementary results with further training of beneficiaries of the Enterprise Innovation Fund to develop and use the funds provided by the EU. The first beneficiaries of the Enterprise Innovation Fund are 16 RESEARCH FOR INNOVATIONfrom the Republic of Serbia and they are already in the process of harmonization of require- ments necessary to access this type of support. 8. Science Technology Parks In the process of early development, support will be provided to the establishment and de- velopment of science technology parks in the university centres that will facilitate creation of jobs with high added value and high-quality employment: creation of new jobs/compa- nies based mainly on high technologies, so-called high-tech-intensive companies/jobs; and technology transfer from the source, knowledge base into the business sector. 9. Establishing research and development clusters and competitiveness networks R&D clusters will be established which will include scientific research organisations, facul- ties and institutes, business organisations, public enterprises, relevant state institutions, with the aim of performing coordinated research and improve the work within a specific sector within them. In order to strengthen the cooperation, the networking of research, development and production (large, medium and small) enterprises will be introduced, which is especially important if one bears in mind that the Serbian economy is dominated by small and me- dium-sized enterprises which find it difficult to mobilize special research resources, which negatively affects their innovative capacity. Using the best practices in the EU, initiatives to form competitiveness clusters will be used that will enable close cooperation between the participants in the chain of value creation within and between sectors, as well as more inno- vation and high added value. X Key perforM ance indicortS a : 1. Spending on science from the private sector as % of GDP; 2. The number of registered enterprises based on knowledge and innovation; 3. The number of joint projects of business and science; 4. A new product on the market; 5. The increase of revenue achieved through: the licensing of patents, technology transfer, agreements on the use or development of technology, advisory services, etc.; 6. The number of implemented researches and services in companies through the application of innovation vouchers; 7. The share of companies with technological innovation (as % of the total number of companies); 8. Revenue from innovative products; 9. The number of “spin-off” companies; 10. Ranking of the Republic of Serbia in the international context: Innovation Union Scoreboard, Global Innovation Index, etc 17ESTABLISHING A MORE EFFICIENT SYSTEM OF MANAGEMENT OF SCIENCE AND INNOVATION IN THE 3 REPUBLIC OF SERBIA In order for the research and innovative development to be significantly accelerated, it would be necessary for different participants in the process to achieve a certain level of cooperation and compliance at all levels of governance. X MEASURES THAT wILL BE USED TO ACHIEVE THIS OBJECTIVE ARE: 1. Improving the institutional framework The institutional framework in the area of innovation activities should be improved in order to, inter alia, establish a body at the national level that would: consider and monitor scien- tific research and innovative development of the Republic of Serbia; identify basic prob - lems of development in the economy and society and propose measures and instruments that would promote the spreading of knowledge networks and organisational application of scientific research results and innovative products, with the aim of creating an efficient, competitive and innovative economy; harmonizing positions around the strategic priorities and directions of economic and overall development of the Republic of Serbia; analysing and measuring the level of implementation of scientific research results in the development of knowledge and innovation based economy. The law regulating the innovation activities should regulate the activities, operation, composition and appointment of members of the above mentioned body, provided that the member of that body will not receive any remu- neration for their work. 2. Establishment of strategic management scientific research organisations Establishment of strategic management within each scientific research organisation will start through (re)defining of their activities, by incorporating the innovations into the work of the high education institutions and institutes. During the first year of implementation of the Strategy, each scientific research institutionwill develop a programme of development in compliance with the Strategy and it will include key performance indicators.The changes to the management system will include redefining the mandates of the University Senate, academic councils of faculties and scientific councils and managing boards of institutes. This will be preceded by corresponding amendments to the laws governing higher education, scientific research and innovation activity. 3. Reforming the network of institutes For the implementation of scientific and R&D institutes it is necessary to determine the eco - nomic and social role of each institute and its activities in the global research and innovation context. Each institute will first carry out a self-evaluation process under a unique method- ology in order to analyse: X or ganisation and management; 18X r esearch capacities (in terms of the number of researchers and/or relevance and excellence of their research); X scientific or mar ket orientation; X the field of r esearch activities; X capacit y for innovation. After that, a detailed analysis of the entire network of institutes will follow up which will refer to their activities, expanded or redefined, their continued involvement in the work of the university, pooling of institutes according to their fields of work or further improvement of their independent functioning. The whole process will be done in a transparent manner and in cooperation with the institute’s management. The analyses will be the basis for the development of the model of institutional funding. 4. Policy mix peerreview A policy mix peer review will be conducted with the purpose of improving the system and integration into the European Research Area. This evaluation involves a systematic review and evaluation of performance/functioning of the national system of research and innova- tion by international experts, in order to improve the content and implementation of the na- tional policies in the area of research and innovation. The evaluation should provide insight into the practice of supporting research and innovation, programme portfolios and instru- ments of incentives and support structures, the organisation of financing and institutional structure, as well as the overall environment for research and innovation. Based on the re- sults of the evaluation, recommendations will be defined for the improvement of integrated research and innovation policies. This activity will be carried out during 2016 in communica- tion and coordination with the European Research Area Committee (ERAC). X Key perforM ance indicortS a : 1. Improving the legislative framework: Strengthening mechanisms of the “knowledge economy”; 2. New laws adopted and implemented: the Law on Scientific and Research Activity, the Law on Higher Education, the Law on Innovation Activity: institutions are implementing the laws; 3. The number of conducted analysis of the scientific research organisations, primarily institutes; 4. The number of institutes that have implemented restructuring in accordance with the amended mission. 19ENSURING ExCELLENCE AND AVAILABILITY OF HUMAN RESOURCES FOR SCIENCE 4 AND ECONOMY AND SOCIAL ACTIVITIES Knowledge and human resources are the basis of every society. They are a central element of vitality and a condition for social existence. The developed based on the quality of human resources needs to have stronger links of the education and research system with the other sectors, so that the resources that exist and that are generated through high education and research would be used with greater efficiency. X MEASURES THAT wILL BE USED TO ACHIEVE THIS OBJECTIVE ARE: 1. Improving the legislative framework for the development of human resources The availability of higher education will be the basic element of the new act on higher edu- cation financing (measure established in the Strategy for Development of Education in Ser - bia until 2020), which will support the increase in the number of persons with higher educa- tion (in the age group 30-34) and increase in the share of students in the field of natural and engineering sciences at all levels of studies (undergraduate, master and doctoral studies). Bylaws will regulate the incentives and rewards for researchers who achieve outstanding research results, as well as the stay of researchers in leading research laboratories and insti- tutes in the world. A set of law will be adopted that will remove administrative obstacles related to the visa regime, residence permits and work permits, etc.) for the stay of researchers from abroad. Legal measures to ensure ethical conduct in scientific research will be improved, especial- ly to combat plagiarism and the organisation of transparent competitions for scientific re - search and teaching positions. 2. Improving the programme of doctoral studies A key role in the formation of highly educated staff belongs to the universities. Since the Republic of Serbia still does not have a critical mass of competent experts necessary for a serious economic progress, it is necessary to improve the educational and research capac- ities of universities by increasing the proportion of: 1) students studying natural sciences and engineering; 2) students of doctoral studies trained to continue their career in other sectors, primarily the economy; 3) teachers who have an internationally recognized research results. To achieve these objectives, it will be necessary to improve the model of financing of higher education, support the performance and quality of education and the effectiveness of research and internationalization. It is essential for universities to take action, according to the Strategy of Development of Education in the Republic of Serbia until 2020 and the Action Plan, for the reform of doctoral studies, to implement the principles and elements of 20innovative doctoral studies. Improvement of doctoral studies should be aligned with the priority research and the needs for the development of the country. Mechanisms will be established for the financial support to institutions that organize doctor - al academic studies, while personal support will be provided to students of doctoral studies during their studies. The support will include elements related to educational and research activities, mobility, but also the acquisition of transferable and other skills that are of interest for further career development in research and innovation and in other sectors. In those areas with exceptional research environment (excellent equipment, research results and staff that is internationally recognized) doctoral schools will be formed, with the aim of attracting students from the region and other international students. 3. Involvement of young researchers in projects The best students, after completing master academic studies, and successful students of doctoral studies will be included in the projects of general interest, new project cycle, after a conducted public call for projects. Particular incentives will be devoted to the return of young researchers who have doctorates from foreign universities and they will be able to be involved in research projects within the general interest programme. Also, the financing of projects that would be led by younger researchers with the academic or teaching title will be supported. 4. Strengthening the cooperation with the diaspora Special measures will be undertaken to include renowned scientists from the diaspora into the education and scientific system, through their participation in doctoral studies, then the undergraduate studies, their involvement in the management, advisory bodies and commit- tees, as well as in the process of the review of national projects and the financing of start- ups, including the ones that are the beneficiaries of the innovation support programme. Improving the scientific infrastructure and improvement of project funding will incentivize their participation in national projects from the programme of general interest and the man- agement of those project, if they want to come back and continue their scientific career in the Republic of Serbia, in order to pass on their knowledge and experiences from eminent laboratories and institutions around the world. A single database of Serbian scientists and professors around the world will be formed, while the establishment of associations of academic diaspora will be encouraged in those coun- tries where the diaspora is numerous. The actions which mark the anniversaries related to the famous scientists of Serbian origin will also be supported. 5. Improving the mobility of researchers It is extremely important that the universities and institutes engage foreign students, re- searchers and experts, through international public competitions. Educational and scientific capacities of the Republic of Serbia can be dramatically increased by introducing structural measures to encourage cooperation between universities and institutes. Through the re- 21form of the network of institutes, state-owned universities will include a number of institutes in their composition and thus strengthen their research and innovative potential. Elections to the scientific research and teaching titles will be harmonized, which will allow unhindered mobility of teaching and research staff. It is extremely important that the universities and institutes engage foreign students, re- searchers and experts, through international public competitions.The aim is to establish a completely open research space, based on the excellence of researchers, which encourages the general mobility. The mobility policy will be based on the measures that ensure the funding of mobility and access to infrastructure. The “Mobility for Better Learning” Strategy will be accepted, and a strategy that will include the mobility of international and national students, teachers and researchers will be adopted. In order to be able to implement these objectives, it is necessary to remove legal barriers and other obstacles for the open proce- dure of employment of researchers in the public sector in research organisations. It is neces- sary to define new structures and approach to career development of researchers. Processes and procedures for the recruitment of researchers must be aligned with the Researcher’s Charter and the Code of Conduct of researchers. Foreign students will be able to get effec- tive granting of their student visas and resolution of other issues relevant for their life in the Republic of Serbia (health care, accommodation, food, etc.). Improving mobility between science and economy will be an integral part of systemic measures for greater cooperation on joint development and innovation projects, with the aim of resolving the current problems and tasks in the economy and society as a whole and creating new products and services. 6. Improving gender and minority equality in science and innovation Gender and minority equality will be improved at all levels of decision-making and gender budgeting will be implemented in accordance with the Gender Budgeting Guidelines at the national level in the Republic of Serbia. X Key perforM ance indicortS a : 1. The number of researchers per million inhabitants; 2. The number of researchers in the total number of employed inhabitants; 3. The number of young researchers that are students of doctoral studies; 4. The number of young people who have obtained their Ph.D.; 5. The number of researchers from the diaspora participating in national programmes; 6. The number of PhDs in the non-academic sector; 7. The number of researchers that are involved in technology and other innovative companies; 8. The number of researchers who have achieved mobility in the country; 9. The number of researchers who have achieved mobility abroad; 22 RESEARCH FOR INNOVATION10. The number of foreign students in doctoral and other academic studies in the Republic of Serbia; 11. The number of foreign researchers who are (co)financed from the budget; 12. Percent gender representation on different levels of decision-making and the share of women in the total number of researchers. ENHANCING INTERNATIONAL COOPERATION 5 IN THE FIELD OF SCIENCE AND INNOVATION International cooperation will work on achieving the desired goals and addressing current challenges: to become an equal member of the European Research Area, to attract addition- al sources of financing from abroad, to successfully carry out the negotiation procedure until the end (Chapter 25), to provide excellence through collaboration with leading scientific research organisations abroad, to enable incoming and outgoing mobility, to involve more intensively the sector of small and medium-sized enterprises, etc. Further integration into the European Research Area will support the intensification of exist - ing and introduction of new measures and inclusion of the priorities from the roadmap of the European Research Area in the creation of the national roadmap. X MEASURES THAT wILL BE USED TO ACHIEVE THIS OBJECTIVE ARE: 1. Establishing a coordination body for international cooperation For better coordination, policy implementation in this area and raising the level of partici- pation, an advisory body will be established – the Committee for International Cooperation which would include experts appointed in the programme boards, boards of the ERA and other relevant bodies at international level (ERAWATCH, COST, EUREKA). The activities of the Committee would not be limited only to Horizon 2020, but also to other forms of interna- tional cooperation. 2. Strengthening participation in the European Framework Programme for Science and Innovation Horizon 2020: X the C apacity Building Programmefor the participation of the Republic of Serbia in Horizon 2020 will be passed and it will include all aspects for researchers and research teams, business and social organisations, in the activities of Horizon 2020. The mobility programmes will be supported through incentives, especially the mobility of young people, as well as the support for more intensive participation in the most prestigious part of the programme related to the exceptional science, and implemented by the European Research Council; 23

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