TITLE: Science, Technology & Innovation (STI) Policy (1966-2016) – Commemorating a New Beginning?
In this busy year of anniversaries and commemorations there has been one significant area of Irish economic and social life to which little or no attention has been paid. In the hope-filled days of the mid-60s, the Irish Government – in cooperation with the OECD (a key partner in many seminal policy reports and implementation exercises at that time and since) – published ‘Science and Irish Economic Development’ (SIED) in 1966[1]. Reporting to the then Minister for Industry and Commerce, Jack Lynch and the National Advisory Committee he established, the Project Team, led by UCD Economist Paddy Lynch (no relation), based its report on a detailed survey of the state’s scientific and technological resources and capabilities across the spectrum of the public, private and university sectors.

It is worth noting that Paddy Lynch was concurrently responsible for producing another significant report in conjunction with the OECD, entitled ‘Investment in Education’. Far from ending up sitting on the proverbial shelf, both of these reports were to lead to rapid and significant political and administrative action – in the case of SIED to the setting up of the representative and advisory National Science Council (by Charles Haughey) in 1967. The responses to the Investment in Education report included early and major second level changes (e.g. ‘free education’ - 1966) as well as  third level initiatives (e.g. Regional Technical Colleges in 1969). Both reports stressed the importance of applied research and technical skills, alongside longer-term research needs.

One of the reasons why such rapid action followed from these reports was that, under the relatively radical and reform-minded Lemass Government, a group of people with both good analytical skills and strong political and public administration links was brought together and adequately funded and resourced to ‘do the job’ properly. In the case of SIED, this involved recruiting a full-time staff drawn from Bord na Mona – Horace ‘Dusty’ Miller, (a mechanical engineer) as Deputy-Director - and from the then An Foras Taluntais/Agricultural Institute - Diarmuid Murphy, (a researcher and statistician, later Secretary of the National Science Council) - along with part-timers including the Professor of Electrical Engineering at UCC ,Charlie Dillon (later, Chairman of the ESB), TCD economist, Martin O’Donoghue, (later Minister for Economic Planning & Development), an international public servant from the UN Economic Commission for Europe, Bill Hyland, (later to return to the Department of Education) and finally, as Secretary, from the civil service, Cathal Mac Gabhann, (later to be Chief Executive of Gaeltarra Eireann and Udarás na Gaeltachta). They spent a full three years preparing  a comprehensive report  on Irish science and technology, which would not be matched until what is known as the Tierney Report from the Science, Technology & Innovation Advisory Council (STIAC) and the subsequent White Paper in the mid-1990s, which  led to a major increase in state funding for research.

The 1963-1966 Research and Technology Survey was one of five established in the early to mid-60s in OECD member states to see how R&D and other science and technology-related activities were linked to and could be more oriented towards economic and social needs. The other four pilot countries were Italy, Spain, Greece and Turkey. The Research and Technology Survey and the subsequent SIED Report not only set out ‘to supply information on the present state of research and technological development in the Irish economy’ but also ‘to forecast the likely growth of these activities over the next 15 years.’ Here again it anticipated developments in the late 1990s when a major Foresight exercise was organised to follow up the analytical and advisory work of STIAC.

Charles Cooper, a South African-born economist who had vowed not to return to his homeland until the end of apartheid, was the OECD staff member overseeing the five surveys. He was to leave the OECD in 1969 and join the staff of the Science Policy Research Unit (SPRU) at the University of Sussex. This was founded in 1966 and was directed for many years by Professor Chris Freeman, who is widely recognised as the primary innovation theorist of the 20th century. Cooper was to play a further important role in the development of thinking on the potential economic and social impact of science and technology in Ireland in a seminal report to the National Science Council on Science, Technology and Industry in Ireland (known as the Cooper-Whelan Report)[2] published in 1973.

This was co-authored by Cooper (advised by Freeman and others at SPRU) and Dr. Noel Whelan, who worked closely with Paddy Lynch in the setting up of the  first master’s degree in the Economics of Science and Technology and the establishment of a Sussex-type Science Policy Research Centre (SPRC) at UCD, both now no longer in existence. He was subsequently to become Secretary of the Department of the Taoiseach. The Cooper-Whelan report extended the discussion on the role of science and technology in Irish-based industry, both indigenous and foreign, particularly in the form of innovation or, more particularly, new product and process development. The report traced clearly for the first time the nature and impact of the two-tier nature of industry in Ireland – on the one hand a small group of new, foreign-owned firms in high technology sectors attracted here by a tax-free exports regime and grants, and on the other hand an indigenous and largely traditional sector of subsidised, non-exporting small firms for which technology and research were irrelevant’.[3] This inspired much discussion on the role and focus of R&D and innovation in Irish industrial and related policies over the 1970s and early 1980s, particularly in the context of the lively and detailed debate stimulated by the Telesis Report.[4]

The major institutional change arising from the Cooper-Whelan report was the establishment in 1978 of a National Board for Science and Technology, a statutory body to provide science and technology policy advice.  It replaced the National Science Council established in 1967.

The Cooper-Whelan and Telesis reports broke new ground - particularly in stating strongly the need for an approach to research and innovation that took into account longer-term needs in relation to more fundamental research in an academic setting, playing a role in international science etc., but also a clear focus on the need to address the more immediate product and process development needs of both indigenous and foreign industry.

Such ‘local’ development needs (and opportunities) had previously been addressed in various reports and analyses going back to the mid-19th century at least with the work of Sir Robert Kane[5] and the publication of The Industrial Resources of Ireland’ in 1844.[6]Both this and a subsequent review by the Young Irelander, Thomas Davis,[7]stressed the importance of ‘knowledge,’ as well as natural resources, as the basis for industrial and economic development – thus anticipating the modern concept of ‘the knowledge economy’ by over a century. What both missed is the importance of markets and marketing as essential elements in innovation and the development of new products (goods & services).
                                                  
Another Irish pioneer in the application of science to economic and social development was John Desmond (JD) Bernal, born in Nenagh in 1901, who was both a pioneering researcher in the study of x-ray crystallography and the author of ‘the Social Function of Science’[8], which was published just before the outbreak of the 2nd World War in which he played a high level policy advisory role. Bernal was known as ‘Sage’ and according to his biographer, Andrew Brown[9], 'The Social Function of Science . . . was Bernal's attempt to ensure that science would no longer be just a protected area of intellectual inquiry, but would have as an inherent function the improvement of life for mankind everywhere. It was a ground-breaking treatise both in exploring the scope of science and technology in fashioning public policy, with Bernal arguing that science is the chief agent of change in society, and in devising policies that would optimise the way science was organised. The sense of impending war clearly emerges. Bernal deplored the application of scientific discoveries in making war ever more destructive, while acknowledging that the majority of scientific and technical breakthroughs have their origins in military exigencies, both because of the willingness to spend money and the premium placed on novelty during wartime.'

Until recently Bernal had gone largely unrecognised in his own country. This can at least partly be explained by the fact that he spent most of his career at the University of Cambridge and Birkbeck College, London. But the recent establishment of the €52 million Bernal Project at the University of Limerick (UL), close to his native Tipperary, has gone some way to correcting this. The investment will expand research capacity in the industrially-oriented Applied Sciences & Engineering faculty.
UL has also pioneered the concept of ‘Translational Research’ where a conscious effort is made to build in industrial applications from the start of the research project and the difficulties of technology transfer are minimised.

So a serious long-term approach to policy-making and advice in STI was established 50 years ago (and more). Irish scientists, technologists and economists, supported by a far-seeing Government and public service, were to the fore in developing and embracing new ideas and structures for the application of science and technology in what was a challenging area of thinking and governance. The principle of having a representative and expert advisory body in a field recognised at the OECD and elsewhere as being increasingly significant for industrial and economic development was laid down.

However, it was not until financial resources became available to Ireland from the European Regional Development Fund in the late 1980s that real progress was made on implementing a research and innovation policy.  A Minister of State for Science & Technology (along with an Office within the responsible Department), and, latterly, one for Research, became a normal part of Government. Ireland’s only industrial research and technology organisation (RTO) – the Institute for Industrial Research and Standards, which was merged with the NBST in 1988 to form Eolas –was given more resources to expand its capabilities.  But following a review of industrial policy in 1991 (Culliton Report) Eolas was abolished and replaced by an agency responsible for developing indigenous industry (Enterprise Ireland).  A new policy advisory body was established in 1993, Forfás, to provide policy advice and co-ordination for industrial and science and innovation policies.  In 1995 the Government established a major consultative exercise on the future of science and innovation policy, called STIAC (the Science, Technology and Innovation Advisory Council) and its output, the Tierney Report, led to major changes.  A Foresight study was undertaken, resulting in an enormous increase in the level of public funding for basic research and the setting-up of Science Foundation Ireland.  A permanent advisory council was established to provide expert advice on science, technology and innovation (ICSTI).  Research Councils for Science & Engineering and the Social Sciences were established (later to be amalgamated into the Irish Research Council) to channel the new funds into research in third level institutions.  An office of Chief Scientific Adviser to Government was also established.

These developments in the 1990s can be seen in general terms as a logical follow-on to the early commitment in the 1960s to the formulation and implementation of a coherent approach to developing a national system of innovation in line with best practice in other small, developed countries, although they were marked by a lack of attention to the need and opportunity for the kind of applied research and technical development that would have favoured indigenous industry. This and other in-built flaws, combined with the well-known problem in Irish public policy of ignoring weaknesses and emphasising only the supposed positives, has led to a situation where the 2016 picture is very different. There is currently no dedicated Minister for Science & Technology or Research, although a senior Government Minister, as well as a Junior Minister with other primary responsibilities, retains ‘Innovation’ in their ministerial titles. Even more starkly, there is no independent advisory council or related professional secretariat. Nor is research or science mentioned in the current Programme for Government. In addition, the posts of Director General of Science Foundation Ireland and the state’s Chief Scientific Adviser are carried out by the same person, calling into question the independence and objectivity of the latter, irrespective of the merits of the individual involved.

In the context of Brexit, the Apple tax controversy and other short-term challenges, these may seem to be somewhat ‘academic’ issues but the latest OECD Economic Survey of Ireland[10] stresses the need to encourage industrial R&D in particular and innovation in general as a major policy priority. A recent background paper[11] prepared by the OECD Secretariat states that ‘while Ireland has made good progress towards building up its scientific capabilities, innovation capacity remains weaker than in other small advanced OECD countries, such as Austria, Denmark, Sweden and Switzerland.’ It goes on to say that ‘attracting high-tech multinationals should remain central, (but) there is potential to better develop spillovers between these firms and domestic SMEs, notably by establishing applied research centres.’

A similar concern has been echoed by some Irish economists, including John Fitzgerald. In his regular Irish Times column[12] Fitzgerald last year commented that ‘for half a century the attraction of foreign investment to Ireland has been a key feature of the Irish development strategy’ and ‘it has proved successful, with a large number of foreign multinationals coming to Ireland and prospering here.’ He then went on to state that ‘In the longer term, Ireland needs to evolve its industrial strategy to reduce its dependence on low tax rates as the crucial arm of competitiveness. Greater reliance on innovation by domestic business and on developing skills and expertise will provide a more secure long-term strategy.’

These views underline the point that Ireland needs adequate and appropriate policy-making and advisory structures to address specific research and wider innovation issues. Over the years, lip service has been paid to establishing an Irish version of the OECD concept of a ‘national system of innovation’, in which all the elements of the innovation process and a wide range of actors involved are included. In 2016, such an approach increasingly appears to be a receding memory. This is illustrated in the fact that the welcome Year of Design 2015 was clearly reflected in Enterprise 2025[13] but only received a small mention in Innovation 2020[14].

There is an immediate need to restore the mechanisms that are necessary to make this happen. Perhaps in addition to a representative council like we have had since the mid-1960s, we might also see the resurrection of the 2010 Task Force on Innovation, the last major consultative exercise in this area, whose report faded away after the change of Government in 2011. In both cases, we might well pay heed to Chris Freeman’s advice that
‘Innovation is far too important to be left to scientists and technologists. It is also far too important to be left to economists or social scientists’ (Freeman, 1974: 309)[15].
October 2016


[1] Stationery Office, Sept/Oct 1966 (Volumes 1 & 2)
[2] Stationery Office, January 1973
[3] Fitzgibbon, M. (2011) ‘Fifty Years of Irish Industrial and Science Policies, 1960-2010: A Critical Analysis’, Administration, 59, 101–141.
[4] A Review of Industrial Policy NESC Report No.66 1982
[5] Secretary, RIA; and Professor of Natural Philosophy, RDS and of Chemistry, Apothecaries Hall of Ireland
[6] Hodges & Smith, Dublin June 1844
[7] Prose Writings, Davis, Walter Scott, London 1889 (which appeared in the Nation in 1844)
[8] Faber 1939
[9] J.D. Bernal: the Sage of Science – Andrew Brown OUP 2005
[10] OECD Economic Surveys – Ireland September 2015
[11] From bricks to brains: increasing the contribution of knowledge-based capital to growth in Ireland – David Haugh, OECD Economics Dept Working Papers No 1094
[12]Home-grown business is driving the recovery more strongly than multinationals  - foreign direct investment is vital to jobs but the real source of growth is indigenous -  Irish Times Tue, Feb 3, 2015  
[13] Department of Jobs, Enterprise and Innovation, Enterprise 2025 Ireland’s National Enterprise Policy 2015-2025 Background Report 2015
[14] Department of Jobs, Enterprise and Innovation, Innovation 2020: Progress Report July 2016
[15] Freeman, C. (1974), The Economics of Industrial Innovation, Harmondsworth: Penguin
Books.

About Innovation Analysis Ireland

Dermot O’Doherty, B.B.S., B.A., M.Econ.Sc – Innovation & Business Networks Consultant

Dermot O’Doherty is an Independent Adviser on Innovation and Business Networks, mainly operating as a consultant with Tom Martin & Associates/TMA Consultants. Organisations and areas he is currently or has been working with include firms and their industry associations on innovation and strategic business network development in areas such as renewable energy, as well as state/educational bodies and local authorities, North & South, on best-practice business education and integrated local economic development.

Previous positions have included:
  • Associate Consultant with Genesis, Ireland
  • Senior Adviser on innovation and business development at InterTradeIreland,
  • Senior Adviser on technological and innovation policy in the Science, Technology and Innovation Division of Forfás
  • Manager, Strategic Planning, in Eolas - the Irish Science and Technology Agency.
In his work with InterTradeIreland, Dermot worked closely with firms, higher education institutions, development agencies and business associations, North & South, in the development of innovation-related initiatives and networks. His work with companies and industry associations in the identification and development of collaborative business opportunities, particularly in terms of technological convergence and geographic clustering as well as the research and regional offices of the universities and colleges on an agreed approach to promoting and applying intellectual property on an All-Island basis was particularly relevant. His role also included close interaction with other cross-border bodies such as the Special EU Progammes Body (SEUPB) which administers the Interreg and Peace progammes.

As Senior Adviser with Forfás, Dermot focused on innovation in firms, the links between the HE sector and industry and the role of public policies and incentives. One of the significant reports he authored at Forfás was Post-1999: HE – Industry Links – Policy Issues, which reviewed the impact on STI of EU Structural Funds and plans for their future application in the period 1999-2005. He was also responsible for a number of Irish Council for Science, Technology & Innovation (ICSTI) reports, including Innovation in Enterprises in Ireland and Statement on Public Research and Technology Services for Innovation in Enterprises.

Dermot’s work with Eolas, - the Irish Science and Technology Agency involved assisting with the development of strategic plans for more than 50 individual technology areas and their interactions with industry. Earlier organisations worked in included the National Board for Science and Technology and the Confederation of Irish Industry, both involving a focus on innovation and technology transfer within the wider industrial and economic context.

He was founder-Secretary for four years and Chairman for two years of the Ireland branch of the Licensing Executives Society, Britain & Ireland. 

He is a graduate of Trinity College and University College, Dublin and throughout much of his career has been involved at international level with the EU and the OECD as well as specialised organisations such as the Six Countries Programme on Innovation.
  • Bachelor of Business Studies (B.B.S.) and B.A., Trinity College Dublin
  • Master of Economic Science (M.Econ.Sc.), University College Dublin
      
    Key Skills and Professional Expertise: Dermot became an independent business consultant in January 2009 - specialising in innovation and the development of business networks - and brings knowledge and experience of a wide range of areas of business and economic development:
  • Science, Technology & Innovation -he has spent many years as a professional policy analyst and programme reviewer across STI, including private sector, public-private and university industry collaboration. Other current areas include public procurement and its impact on innovation in firms; 'green' innovation and waste issues and the implications and impacts of 'open' innovation
  • Business Networks Development – arising from the impact of networks on innovation in the firm and their implications for enterprise and industrial policy he has undertaken a series of planning exercises and programme initiatives aimed at establishing the optimum strategies, measures and approaches to maximising their benefit
  • Strategic Planning – experience as a strategic planning manager and participating in and managing a range of foresight and forecasting exercises.
Career History:
  • 2009 – Present Independent Consultant
  • 2000 – 2008 Senior Adviser, Policy and Business Development (including Collaborative Business Networks), InterTradeIreland
  • 1995 – 1999 Manager, Technology and Innovation Policy/Senior Policy Adviser, Forfás
  • 1994 – 1995 Secretary, Industry Committee, Science, Technology and Innovation Advisory Council (STIAC)
  • 1991 – 1994 Manager, Strategic Planning, EOLAS
  • 1978 – 1991 Project Manager, Policy and Planning Division, National Board for Science and Technology/EOLAS
  • 1975 Science and Technology Policy Analyst, National Science Council
  • 1971 Research Officer, Irish Goods Council
  • 1970 Business Policy Analyst, Confederation of Irish Industry
Main Publications/Reports:
  • Editor: The Cooperation Phenomenon - Prospects for Small Firms & the Small Economies, Graham & Trotman, LONDON, 1990.
  • ‘Strategic Alliances – an SME and Small Country Perspective’, Science and Public Policy, Vol.17, No.5, Guildford, October 1990
  • ‘Globalisation and Performance of Small Firms within the Smaller European Economies’ in The Impact of Globalisation on Europe's Firms and Industries, Pinter, LONDON, 1993
  • EC MONITOR/FAST ‘Report on the Effects of Globalisation on Technology and the Economy in Ireland, Greece and Portugal’, published in The European Community and the Globalisation of Technology and the Economy, CEC, Luxembourg, 1994
  • Editor/Author: Globalisation, Networking and Small Firm Innovation, Graham and Trotman, LONDON, 1995
  • Co-Author: Good Practice in Managing Technology Transfer Networks - ten years of experience in the SPRINT Network, DG 13D, Luxembourg , 1995
  • Success Through Industrial Innovation - a new focus for firms and Government in Ireland: Summary Report, Forfás, Dublin, 1996
  • Competitiveness through the Management of Technology: Summary Report, Forfás, Dublin, 1997
  • Innovation Ireland – Directory of State Assistance for Industrial Innovation, (with Gillian Coleman and Kevin Lydon) Forfás, Dublin, 1997
  • Globalisation and Small & Medium sized Enterprises - Irish Country Report (with Jim McDevitt, Science Policy Research Centre, UCD), OECD, Paris, 1997
  • International Technological Cooperation – the role of Small Firms – Paper delivered at OECD Conference, Seoul, October 1997
  • “(Interfirm) Networking in Ireland – Policy Responses” in Sustaining Competitive Advantage, NESC Research Series, Dublin, March 1998
  • Statement on Innovation in Enterprises in Ireland, Irish Council for Science, Technology and Innovation (ICSTI), Dublin, July 1998
  • Statement on Scientific & Technical Services for Innovation in Enterprises in Ireland, Irish Council for
  • Science, Technology and Innovation (ICSTI), Dublin, November 2000
  • Directory of Information Sources – a North-South Guide, InterTradeIreland, November 2000
  • Policy Lessons for Cluster Formation & Development Among SMEs:- the case of Ireland, Autumn 2002(for the Korea Development Institute & the World Bank)
  • Understanding Innovation – the need for a systemic approach, with Erik Arnold, The IPTS Report, Seville, February 2003