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KNOWLEDGE ECONOMY PYRAMID: Transforming Knowledge Value in Increasing Productivity and Competitiveness Economic development, productivity

Author Octavian SERBAN Series 18-09 Language English Date 2018.12.30

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   The global economy’s landscape needs a new economic model where knowledge is used as a valuable resource to stimulate innovation, creativity, and entrepreneurship in order to increase productivity and competitiveness for sustainable growth as a premise for social welfare. The policymakers have to design the new public policy for productivity and competitiveness considering the Knowledge Economy frontier and to establish the institutional capacity to manage the knowledge perspective of development. The Knowledge Economy Pyramid model is a catalyst of knowledge ecosystems from education, research, technology, business, innovation, government and local communities, capable to create a collaborative environment with synergy effect: transforming knowledge value in increasing productivity and competitiveness.
   The Knowledge Economy Pyramid is a robust framework based on the four pillars of Knowledge Economy with three effective and powerful structures build upon: Knowledge Triangle, Triple Helix, and Smart Specialization. The main axis which unifies these structures is education-business and all the other stakeholders from research, science, technology, government, administration, clusters, and community are equal contributors to process the knowledge along the central shaft.
   Considering the Knowledge Economy Pyramid model, this research work is defining the coordinates of the public policy for productivity and competitiveness which will be implemented by the institutional capacity – Productivity and Competitiveness Center. This institution is a concrete and accurate representation of the Knowledge Economy Pyramid model with the scope to implement the principles of Knowledge Economy to increase productivity and competitiveness as outputs of the process. Moreover, the capacity building will provide the premises to conclude the new public policy into outcomes: standard of living, well-being, quality of life, and green growth.
   Knowledge Economy Pyramid provides a toolkit for policy/decision- makers to take action in order to improve the activity at any stage of development or maturity for an economy or institution related with productivity and competitiveness and it is able to measure the gap between actual development level and the knowledge edge.
   From an economic perspective, to analyze the concepts of productivity and competitiveness in Knowledge Economy, this study is a very complex work where the tangible is mixed with the intangible, human with technology, economic growth with people prosperity. This study is a “one-stop shop” for all the policy/decision-makers, leaders, representatives, officials, professors, researchers, specialists and practitioners, all engaged in the work to transform the traditional economic model into a new one, according to the Knowledge Economy Pyramid framework.

 

Keywords:Knowledge Economy; Knowledge Triangle; Triple Helix; Smart Specialization; innovation; productivity; competitiveness; sustainable growth 

Foreword


Executive Summary


Contributor


1. Introduction – framework
1.1 General information - needs
1.2 Scope and objectives
1.3 Literature, theories
1.4 Methodology, process
1.5 Expectations
1.6 Research structure


2. Concepts and definitions – describing the relevant knowledge methodology, the foundation  and
     the structures of the economic model
2.1 Knowledge Management (KM)
2.1.1. Concept, definition
2.1.2.Knowledge characteristics in the Knowledge Management approach
2.1.3. Intellectual Capital
2.1.4. Knowledge Organization and Knowledge Worker
2.1.5. Knowledge Productivity
2.1.6. Knowledge Management process
2.1.7. Knowledge Management tools 
2.1.8. Practical examples of Knowledge Management implementation
2.1.9. Knowledge Economy Pyramid framework
2.1.10.Assessment tools for the readiness to adopt Knowledge Management
2.1.11. The need for Knowledge Economy
2.2 Knowledge Economy (KE)
2.2.1. Concept, definition, and pillars
2.2.2. Functionality 
2.3 Knowledge Triangle (KT)
2.3.1. The stakeholders and their roles
2.3.2. Evolution of the concept – establishing the European Institute of Innovation and Technology
2.3.3. Knowledge Innovation Communities
2.3.4. Measuring performance in innovation
2.3.5. Necessity to improve the Knowledge Triangle
2.4 Triple Helix
2.4.1.Structural harmonization in the Knowledge Economy Pyramid
2.4.2. The outline, concept, and stakeholders
2.4.3. Outlooks
2.4.4. Cycle and functionality
2.5 Smart Specialization
2.5.1. Build up the concept
2.5.2. Stakeholders and partnerships
2.5.3. Smart Specialization Strategy (S3)
2.5.4. The process of implementation
2.5.5. The roles and functionality
2.5.6. Bottom-up approach
2.5.7. Research and Innovation Strategies for Smart Specialization


3. Correlations and synergy – analyzing the knowledge ecosystems
3.1 University – Science
3.1.1. Knowledge generator function
3.1.2. The virtuous knowledge cycle
3.1.3. “Third Mission” of the university, lifelong learning concept and the needed reforms
3.1.4. Education performance around the globe
3.2 Business – Innovation
3.2.1. The two-way approach: bottom-up and top-down
3.2.2. Central axis of the pyramid
3.2.3. Innovation analysis
3.2.4. Touching creativity
3.2.5. Economic value of innovation
3.3 Research – Technology
3.3.1. The role of Information and Communication Technology (ICT)
3.3.2. Best practice: Samsung Advanced Institute of Technology (SAIT)
3.3.3. Build supportive environment
3.4 Government – Administration
3.4.1. Critical correlation for capacity building
3.4.2. Validating the model on different economic environments
3.4.3.Key drivers for establishing the Productivity and Competitiveness Center
3.4.4. Practical correlation: Korean Government – Korea Productivity Center
3.4.5. Adopting the best regulation to foster innovation
3.4.6. Key roles in the public administration innovation initiatives
3.5 Clusters – Community
3.5.1. Enhancing the local potential
3.5.2. Clustering process
3.5.3. The case of Korea: chaebol
3.5.4. Regions of Knowledge
3.5.5. The role of clusters for competitiveness


4. Measurement and indicators – assessment methodologies and indices
4.1 Outputs
4.1.1. Knowledge as resource
4.1.2. Understanding the knowledge before measuring
4.1.3. Productivity and statistics
4.1.4. The art of touching the untouchable
4.1.5. Knowledge Assessment Methodology
4.1.6. Knowledge indices
4.1.7. Global Competitiveness Index (GCI)
4.1.8. Global Manufacturing Competitiveness
4.2 Outcomes
4.2.1. Standard of living and quality of life
4.2.2. Human Development Index
4.2.3. Green Growth
4.3 Action plan
4.3.1. Specific terminology and the abstracting model
4.3.2. The 7 stages of implementation
4.3.3. Build up around the 4 pillars
4.3.4. Policies alignment and reforms
4.4 Perspectives of cooperation
4.4.1. The Knowledge Sharing Program
4.4.2. Planned organizational framework for Romania
4.4.3. Upgrading the cooperation
4.4.4. The role of the Productivity and Competitiveness Center at national level
4.4.5. The proposed action plan for Romania
4.4.6. The benefits of the cooperation
4.5 Lesson learned
4.5.1. Korean development after The Second World War – the 4 milestone of the Knowledge Economy
4.5.2. The way ahead towards Knowledge Economy


5. Impact - validation and sustainability
5.1 Productivity
5.1.1. Productivity as development strategy
5.1.2. Concept’s analysis
5.1.3. Case study: Korean productivity
5.1.4. Korea Productivity Center
5.1.5. Productivity in the European Union
5.2 Macro-economy
5.2.1. Changing of the development paradigm
5.2.2. Economic theories
5.2.3. The status of Knowledge Economy
5.3 Public policy
5.3.1. The context and the role of policymakers
5.3.2. The policy/decision-making process
5.3.3. The stages of policymaking process
5.3.4. Strategical approach
5.3.5. The EU principles for transition to the Knowledge Economy
5.3.6. Where is the knowledge frontier?
5.3.7. Recommendations for building institutional capacity
5.4 Society
5.4.1. The value for money
5.4.2. Comparing development cultures
5.4.3. The supremacy of the model
5.5 International relations
5.5.1. Collaborative approach
5.5.2: Going international


6. Conclusions
6.1 One-stop shop body of knowledge
6.2 The value proposition
6.3 Threefold conclusions for the analyzed economies
6.4 Sum-up the findings
6.5 Research perspective
6.6 Final remarks


Appendix


References 

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