Austria

Governments are increasingly utilising research and innovation (R&I) policy to foster economic and societal change. Yet, the empirical correlation between these policies and socio-technical transformations remains under-explored. The report investigates this relationship by comparing the Recovery and Resilience Plans (RRPs) of Austria, Finland and Sweden, initiated under the NextGenerationEU framework post Covid-19. The report finds significant disparities in the content, process and transformative value of the RRPs among these countries. The differences in the content of the national RRPs, and the ability and willingness to seize the opportunity presented by the RRPs to drive transformation, are explained by existing national policy contexts and frameworks. Surprisingly, the role of R&I policy in the RRPs is less important than expected, despite its emphasised importance in literature and political rhetoric. The report further identifies implications for a transformative innovation policy as well as areas for further research.

The Austrian higher education system has consistently recognised the need to become more entrepreneurial and innovative with a view to supporting the economic, social and cultural development of the country and its regions. Over the past decades, the government has been implementing a broad reform agenda to provide strategic funding, diversify higher education institutions (HEIs) and promote an allocation of students that improves the quality of services and empowers them vis à vis the future of work and society. This review illustrates policy actions promoting the development of entrepreneurial and innovative activities in the Higher Education System and individual HEIs. In addition, based on information gathered during study visits, the review discusses strategies and practices adopted by Austrian HEIs to innovate, engage, and generate value for their own ecosystems and networks. The review is part of a series of national reports implementing the HEinnovate framework. HEinnovate is a holistic framework that the OECD and the European Commission have developed to promote the 'entrepreneurial and innovation agenda' in higher education.

Over the past two decades, Austria has become one of the most R&D intensive economies among OECD countries and in the world, dedicating 3.1% of its GDP on R&D in 2016, the second highest figure in the European Union. To fully harness this R&D capacity, Austrian innovation policy needs to put a stronger emphasis on efficiency in transforming R&D inputs into impacts. To achieve higher impacts, Austria also needs to steer its research and innovation system towards leadership excellence in global markets. This requires enhanced international attractiveness for top-level researchers and talent, and a conducive environment for highly innovative enterprises. Austria could also benefit from strengthening R&D and innovation to support key transitions, such as digitalisation and Industry 4.0, and to tackle key societal challenges. The STI policy mix and governance arrangements should be adapted accordingly.