Civil Engineering Reference
In-Depth Information
3.6 Regional Structural Policy as Cluster Policy
Insights in the concept of clusters as a principle of regional development are of great
consequence for public policy. Today, public policy must bear the challenge to
facilitate economic change and the adoption of innovations, while at the same time
enhancing local assets which is also a key factor in growth (Konvitz 2000 , p. 657).
Interregional competition is increasing, and a neglect of cooperation within
regions causes soaring costs. Thus, different actors on the regional level have to
come and work together, to pool their resources and cooperate. This necessity also
calls for a new focus in public policy, the focus on governance. A regionally
coherent system and non-governmental structures necessary to promote clusters
are not a mere product of the market. Instead, they are based on political activity:
Mutual learning, negotiations, and compromises between crucial actors of the
region. Especially, important is that the regional economy and the scientific
community create favorable conditions for successful clusters. This is where
policy, administration, education, research, and business come together. The
common aim is to pursue a policy that ensures the availability of resources and
shapes external restrictions that comply with the common goals.
Regional government in Germany used to be centralized and hierarchical.
Municipal authorities had the objective to work for predetermined targets, to make
use of concessions for infrastructural development and to oversee distribution of
social welfare. Structural policy at the municipal level was largely ignored. With
the change from the Fordist-era to Post-Fordism, cities and regions have begun to
assume their roles as entrepreneurs. Their task is to strengthen and develop their
economic bases. For local governments, a new management system has developed.
Instead of holding a central function, local governments today participate in net-
works that manage structural policy through a process of consensus.
Ketels sums up the objectives for regional development:
''Regions need to activate their clusters, address cross-cutting weaknesses in their general
business beyond the life cycle of specific administrations, and define an overall under-
standing of the unique value they intend to provide relative to other locations'' (Ketels
2003 , p. 19).
Against the background of the concept of clusters as a strategy for regional
development, regions have to evaluate in which sectors they have the potential to
develop clusters. Regional as well as national strengths have to be taken into
account. There has to be a regional consensus on which sectors should be pro-
moted as clusters. With a common goal in mind, public and, if possible, private
means will be directed on sector-related development, for example for physical
infrastructure, the establishment of new institutions for education and research, the
financing of new firms, marketing, and the setting up of networks.
''The integration of local educational institutions with regional development objectives is
crucial; without it, the region will not be able to supply the specialized workforce on
which any cluster is dependent'' (Gerszewski/Krieger 2002 , p. 107).
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