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The innovation capacity of SMEs is less developed than is actually possible. Less than half of the Dutch SMEs are structurally engaged in innovation. Only five percent explicitly and systematically engage in R&D. Policy makers see this as a missed opportunity, also considering the significant economic added value of SMEs. After all, the total Dutch SME sector has over 4 million employees and generates a turnover of around €750 billion.
There are various reasons for this. Perhaps most importantly, many SMEs simply lack the time, money, and knowledge to be (internally) structurally engaged in innovation. This is one of the reasons why more and more focus is being put on open innovation: companies should collaborate with their environment and combine internal and external ideas to achieve innovation in products, processes, and services.
The Innovation Performance Contracts (IPC) subsidy scheme aims to stimulate exactly that. To facilitate collaboration and knowledge transfer among SME entrepreneurs, multi-year innovation projects with groups of companies are initiated and financially supported. SMEs carry out both individual and collective innovation plans within such projects.
On behalf of the Ministry of Economic Affairs, Dialogic will evaluate the IPC scheme in the coming months. The main question of the study is to what extent IPCs contribute to enhancing the innovation capacity of SMEs, both during the project and afterwards. To answer these and other questions, we will conduct interviews with stakeholders, distribute a survey among participating companies, and organise an interactive workshop.
