Building Innovation Capacity in European Regions

As the scale and scope of federal funding for state/local government rose during the pandemic, it quickly became clear that we have a capacity problem.  Too many places, especially in rural and disadvantaged areas, lack the local capacity (in staff and $$) to effectively compete in big grant competitions.   I’ve written much on this topic and there are lots of interesting projects underway to deal with these capacity challenges.

An interesting new European Union report, Align, Act, Accelerate: Research, Technology and Innovation to Boost European Competitiveness, reminds us that these capacity challenge are emerging elsewhere as well.  This study, also known as the Heitor Report, offers a host of good ideas for supporting R&D and innovation in Europe, but it also notes that many European regions are being left behind as they are unable to compete for big innovation-related projects and funding. It recommends actions such as more technical assistance and special support for newer grantees and competitors, but it also recognizes that funding programs are too complicated, matching fund requirements are too onerous, and grant management processes are too complicated. It recommends some good steps to reduce overhead costs, streamline project management, and support less-prescriptive project guidelines.  It contains lots of good ideas that can help in Europe, and could help here as well.