Research, Development & Innovation in Visegrad Countries:
An Overview
Introduction
The following overview juxtaposes the main policies and pub-lic bodies, which implement them, and presents the basic sta-tistics in the field. The overview uses definitions as stated in the Oslo and Frascati Manuals for collecting statistics in inno-vation, research and development. Innovation is understood as the implementation of a new or significantly improved pro-duct (good or service), process, new marketing method, or new organizational method in business practices, workplace organization or external relations. Research & development is crucial for the innovation process, however much innovation activity is more of interactional and transactional character and includes various organisational, technological, financial and commercial steps. Therefore, countries pursue the creati-on of national innovation system, which are blends of science and technology policy and industrial policy, dealing both with the creation of knowledge and in its diffusion and application.
The project was financed by the International Visegrad Fund / Prague, 2017
All four Visegrad countries have in recent years taken po-licy measures aimed at improving the legal, infrastructural and financial environment for research and development, its commercialization as well as generation and adoption of innovations. Often, these programs have focused on startups, offering them financial and knowledge support. Some facilitate the flow of capital to innovative companies and R&D activities. None of the V4 countries has howe-ver tackled the biggest challenge of the transformation to knowledge-based society, i.e. a thorough reform of educa-tional systems. Moreover, the public money available for activities discussed here comes in clear majority from the EU structural and investment funds. Once these sources become scarcer, which will be under the next financial fra-mework after 2020, all four countries may face a sharp drop in R&D&I expenses. Even more important for the V4 gover-nments it will be to redesign their approaches, incentivize business sector and motivate its cooperation with universi-ties. As innovation policy often takes place on the regional level, their governing bodies should be more involved in the policy creation and implementation.
Research and experimental development (R&D) is divided into three categories: basic research (work undertaken primarily to acquire new knowledge without any particular application, applied re-search (investigation undertaken to acquire new knowledge directed towards a practical aim), and experimental development (systematic work directed to producing new or improve existing products or processes). R&D is performed in three
main sectors business (enterprises, including pub-lic and government-controlled enterprises), govern-ment (all of its units that are not themselves part of the higher education sector) and higher educa-tion sector (all institutions providing formal ter-tiary education programmes, research institutes, centres, experimental stations and clinics with own R&D activities).
Main policies Government bodies Public institutions Selected features
Czech Republic National Research, Development and Innovation Policy (2016)
National Research and Innovation Strategy for Smart Specialization of the Czech Republic (2016)
(I) Research, Development and Inno-vation Council chaired by vice-prime minister
(II) Section for Science, Research and Innovation, Office of the Government
(III) Ministry of Education, Youth and Sports is the central administrative authority, whose main responsibility is international collaboration, support for large infrastructures, specific university research
(IV) Ministry of Trade and Industry: is responsible for industrial research, development of techniques and technol-
(I) The Czech Academy of Sciences a public non-university research institu-tion comprised of a network of scientific bodies, grant projects, it provides financial aid for scientific projects of fundamental research both to erudite scientists and teams, and to young and beginning scien-tific members
(II) Technology Agency prepare and implement applied research programs, including those for the needs of state administration, RDI tenders and public procurement
(III) Czech Science Foundation provides targeted support for fundamental research
i) Recent policy focus is on the estab-lishment of a functioning system of RDI management and commercializa-tion of research
(ii) National Innovation Fund (soon to be operational) will invest into innova-tive SMEs, pre-seed phase or in proof of concepts
(iii) CzechInvest advises Czech entre-preneurs and foreign investors, also in the area of R&D&I
HungaryNational Smart Specialisation Strategy (2014)
National Research and Devel-opment and Innovation Strategy (2013)
I) National Research, Development and Innovation Office is a government agen-cy that coordinates the national research, development and innovation ecosystem
(II) National Level Steering Board, Inter-ministerial Working Group, and S3 Management Team under the Govern-ment Office coordinate the implementa-
(I) National Research, Development and Innovation Fund
(II) Regional Innovation Agencies imple-ment the RIS3 at the regional level
(I) Main Goal of the R&D&I Strategy - to increase expenses in this field to 1.8% of the GDP by 2020
PolandNational Research Programme (2011)
Small Innovation Act (2016)
(I) Innovation Council and Inter-minis-terial Committee for Innovation presid-ed over by the Minister of Development
(II) Ministry of Science and Higher Education (MSHE) is the main body responsible for R&D policy
(I) National Science Centre support basic research
(II) National Centre for Research and De-velopment is the implementing agency of the for science, technology and innovation policies, also responsible for technology transfer and commercialization
(III) Polish Agency for Enterprise De-velopment supports entrepreneurship, innovativeness human & resources devel-opment, mainly at SMEs level
(IV) Polish Development Fund, has pro-grams for new innovative companies
(I) White Paper for Innovation (2016) is the basis for a package of innova-tion laws to come into force in 2018, envisages the increase of R&D spend-ings to 1,7 % of GDP
(II) National Smart Specialization is implemented via regional strategies by voivodships
(III) StartInPoland is a program to support startups (both domestic and foreign), funded from OP Intelligent Development and private capital
SlovakiaResearch and Innovation Strategy for Smart Specialisation of the Slovak Republic (2013)
(I) Government Council for Science, Technology and Innovations is presided over by vice-prime minister
(II) Ministry of Education, Science, Re-search and Sport responsible for science and technology policy
(III) Ministry of Economy is responsible for the innovation policy
(I) Slovak Research and Development Agency support research and development (basic and applied research and experi-mental development
(II) Slovak Innovation and Energy Agency fulfills the function of Technology Agency and implements innovation policy
(III) Research Agency implements Euro-pean Structural and Investment Funds
(I) Concept for the support of startups and startups ecosystem (2015), intro-duced instruments to support new firms e.g. a new type of company (simple joint-stock company)
(II) National Holding Fund manages 7 venture capital funds supporting start-ups, scale-ups, among them Innovation and Technology Fund
Overview of Innovation, Research and Development policies and implementing bodies
Funding Source of funds for R&D (as % of total R&D funds)
Bussines sector
Private non-profit sector
Government sector
Abroad
Structure of R&D funding (2015)
32,5 % Abroad 0,1 % Private non-profit 0,7 % Higher education 32,2 % Government 34,5 % Business
1,6 % EU 0,1 % Hungary0,7 % Slovakia 0,2 % Czech Republic 0,3 % Poland
55,3 % EU 49,7 % Hungary25,1 % Slovakia 34,5 % Czech Republic 39 % Poland
10 % EU 15 % Hungary39,4 % Slovakia 32,5 % Czech Republic 16,7 % Poland
32,3 % EU 34,6 % Hungary31,9 % Slovakia 32,2 % Czech Republic 41,8 % Poland
16,7 % Abroad 0,2 % Private non-profit 2,2 % Higher education 41,8 % Government 39 % Business
15 % Abroad 0,7 % Private non-profit 34,6 % Government 49,7 % Business
39,4 % Abroad 0,3 % Private non-profit 3,3 % Higher education 31,9 % Government 25,1 % Business
Czech Republic
Poland
Hungary
Slovakia
325
0,24
3 431
6,50
8
10 004,958
151
0,93
5
927,
272
R&D expenditures by sector and source of funds
Total R&D expenditure in all sectors as % of GDP (2015)
Total R&D expenditure in all sectors (in milion EUR, 2015)
R&D expenditure financed from business sector (in million EUR, 2015)
R&D expenditure spent in business sector (in million EUR, 2015)
2,03 % 1,95 %
1,38 %
1 % 1,18 %
1 683,636
1 122,165
751,189
232,349
2,03 % EU1,95 % Czech Republic 1,38 % Hungary 1 % Poland1,18 % Slovakia
3 250,243 Czech Republic1 510,935 Hungary4 316,508 Poland927,272 Slovakia10 004,958 Total V4
1 122,165 Czech Republic751,189 Hungary 1 683,636 Poland232,349 Slovakia
176
5,00
3
201
0,32
5
5 144,142
110
9,62
5
259,
189
1 765,003 Czech Republic1 109,625 Hungary2 010,325 Poland259,189 Slovakia5 144,142 Total V4
2,5 %
2,0 %
1,5 %
1,0 %
0,5 %
0,0 %
2 000,000
1 500,000
1 000,000
500,00 0
0
10 000,000
9 000,000
8 000,000
7 000,000
6 000,000
5 000,000
4 000,000
3 000,000
2 000,000
1 000,000
0
5 000,000
4 000,000
3 000,000
2 000,000
1 000,00 0
0
809,
513 1
246,
433
264
5,05
4
183,
039
406,
069
1 805,335
1 047,051
523,147
296,133
663,
171
105
2,98
6
217
5,27
6
200,
778
258,
341
R&D expenditure financed from government sector (in million EUR, 2015)
R&D expenditure from higher education sector (in million EUR, 2015)
R&D expenditure in government sector (in million EUR, 2015)
R&D expenditure in higher education sector (in million EUR, 2015)
663,171 Czech Republic200,778 Hungary1 052,986 Poland258,341 Slovakia2 175,276 Total V4
1 765,003 Czech Republic1 109,625 Hungary2 010,325 Poland259,189 Slovakia5 144,142 Total V4
23,014
94,979
30,208
n/a
1 047,051 Czech Republic523,147 Hungary 1 805,335 Poland296,133 Slovakia
23,014 Czech Republicn/a Hungary 94,979 Poland30,208 Slovakia
2 000,000
1 500,000
1 000,000
500,00 0
0
3 000,000
2 000,000
1 000,00 0
0
100,000
80,000
60,000
40,000
20,000
0
50 000,000
40 000,000
30 000,000
20 000,000
10 000,000
0
0
500
1000
1500
2000
1 020,191
330,736310,195
1 753,95
1 056,304
225,903
722,688
365,642
1 056,304 Czech Republic225,903 Hungary 722,688 Poland365,642 Slovakia
R&D expenditure coming from abroad (in million EUR, 2015)
Total government allocations for R&D as % of total general government expenditure
1 200,000
1 000,000
800,000
600,000
400,000
200,000
0
Government expenditure
1,38 % EU 1,46 % Hungary0,56 % Slovakia 0,99 % Czech Republic 0,93 % Poland
1 020,191 Czech Republic310,195 Hungary1 753,95 Poland330,736 Slovakia
Total government allocations for R&D *
(* not actual spending)
Expenditure by type of R&D activity
Basic research
Expenditure on basic research per sector (in million EUR, 2014)
Total R&D expenditure on basic research in all sectors (in million EUR, 2014)
Bussines
Government
Higher education
as % of GDP
957,271 Czech Republic264,531 Hungary1 295,414 Poland302,002 Slovakia
50,23 Czech Republic55,906 Hungary90,099 Poland16,164 Slovakia
449,859 Czech Republic108,637 Hungary396,769 Poland116,311 Slovakia
455,266 Czech Republic99,989 Hungary804,173 Poland169,301 Slovakia
0,61 % Czech Republic0,25 % Hungary0,32 % Poland0,4 % Slovakia
0
50
100
0
100
200
300
400
500
0
200
400
600
800
1000
957,271
1�020,191310,195
0
300,000
600,000
900,000
1 200,000
1 500,000
264,531302,002
1�753,95
330,736
1�295,414
Applied research
Total R&D expenditure on applied research in all sectors (in million EUR, 2014)
as % of GDP
1 081,14 Czech Republic417,984 Hungary76,278 Poland190,334 Slovakia
0,69 % Czech Republic0,4 % Hungary0,19 % Poland0,25 % Slovakia
1�753,95
1�020,191330,736
1�753,95
330,736
0
300,000
600,000
900,000
1 200,000
1 500,000
417,984
76,278190,334
1�081,14
1�753,95
1�020,191330,736
1�753,95
330,736
0
300,000
600,000
900,000
1 200,000
1 500,000
417,984
76,278190,334
1�081,14
Expenditure on applied research per sector (million EUR, 2014)
Bussines
Government
Higher education
722,91 Czech Republic289,393 Hungary289,081 Poland70,17 Slovakia
109,557 Czech Republic57,073 Hungary267,811 Poland62,41 Slovakia
240,445 Czech Republic71,517 Hungary201,85 Poland55,319 Slovakia
0
100
200
300
400
500
600
700
0
50
100
150
200
250
300
0
50
100
150
200
250
Experimental development
Total R&D expenditure on experimental development in all sectors (in million EUR,
as % of GDP
1 052,251 Czech Republic728,664 Hungary1 805,822 Poland177,297 Slovakia
0,69 % Czech Republic0,4 % Hungary0,19 % Poland0,25 % Slovakia
Expenditure on experimental development per sector (million EUR, 2014)
Government
722,91 Czech Republic289,393 Hungary289,081 Poland70,17 Slovakia
3,357 Czech Republic30,618 Hungary260,952 Poland11,047 Slovakia
1�753,95
1�020,191330,736
1�753,95
330,736
0
300,000
600,000
900,000
1 200,000
1 500,000
728,664
177,297
1�052,251
1�805,822
Bussines
0
100
200
300
400
500
600
700
900
1200
1500
0
50
100
150
200
250
300
89,724 Czech Republic21,352 Hungary120,785 Poland5,838 Slovakia
37,407 Czech Republic8,115 Hungary61,277 Poland6,161 Slovakia
Higher education
0
50
100
150
200
250
National public funding to transnationally coordinated R&D (in million EUR, 2014)
% of innovative enterprises in total number of enterprises (2014)
36,1 % EU 31,3 % Hungary34,9 % Slovakia 29,1 % Czech Republic 30,4 % Poland
42,0 % Czech Republic25,6 % Hungary21,0 % Poland31,8 % Slovakia
Employment in knowledge-intensive activities as % of total employment (2016)
Innovative enterprises
97 353
57 185
153 475
28 825
31 %38 % 39 % 43 %
56 %69 % 75 %
87 %
27 % 30 %37 % 42 %
97 353 Czech Republic57 185 Huntgary153 475 Poland28 825 Slovakia
31 % Czech Republic38 % Hungary39 % Poland43 % Slovakia
31 % Czech Republic38 % Hungary39 % Poland43 % Slovakia
27 % Czech Republic30 % Hungary37 % Poland42 % Slovakia
Total head count in R&D (2014) % of female
% of researchers
% of female researchers
R&D human capital
0,0
0,5
1,0
1,5
2,0 1,97111,9937
1,405
0,9844
1,2271
1,9 % EU1,9 % Czech Republic 1,4 % Hungary 0,9 % Poland1,2 % Slovakia
269,91 Czech Republic 222,3 Hungary 609,16 Poland49,75 Slovakia
% of total employment
Patent applications to the European Patent Office (2014)
1 000
750
500
250
0
222,3269,91
609,16
49,75
0
50
100
150
200
250
234,02
50,95 50,02
34,95
18,68 234,02 European Union 50,95 Czech Republic50,02 Hungary34,95 Poland18,68 Slovakia
12,42 % European Union49,45 % Czech Republic66,67 % Hungary37 % Poland68,18 % Slovakia
Patent applications to the EPO per million of active population
Foreign ownership of domestic inventions in patent applications to the EPO as % of all patent applications (2013)
12,42 %
49,45 %
37 %
66,67 % 68,18 %
Sources
Eurostat: Database for Science, Technology and Innovation, re-trieved in June 2017
Guidelines for Collecting and Reporting Data on Research and Experimental Development, Frascati Manual, OECD, 2015
Guidelines for Collecting and Interpreting Innovation Data, 3rd Edition, Oslo Manual, OECD, Eurostat, 2005