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The "Odessa Innovation Strategy", a study for the Science Day of Ukraine

The "Odessa Innovation Strategy", a study for the Science Day of Ukraine
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The author of this essay is Olga Iermakova, Senior Researcher of the Institute of Market Problems and Economic & Ecological Research of the National Academy of Sciences of Ukraine (email: [email protected])


Every third Saturday of May in Ukraine is celebrated Day of Science. As never before, the development of States, regions, and business depends on the ability to generate and apply innovations. The attention of the world community is riveted with hope on scientists working on a vaccine against coronavirus, and only intelligence, not strength, cunning, money, is decisive in this confrontation.

The Odessa region has significant innovation potential. In Odessa, a developed system of educational establishments and scientific institutions of the National Academy of Sciences of Ukraine has been formed, namely: 35 institutions of vocational education, 40 higher educational establishments, 46 R&D institutions (data as of at the end of 2018). There are scientific institutions of the highest category A in the region that means significant scientific and practical results of national and international significance, in particular, the Institute of Market Problems and Economic & Ecological Research of the National Academy of Sciences of Ukraine has this category. The scientific and technological potential of the Black Sea region of Ukraine is annually examined by the Southern Scientific Center of the National Academy of Sciences of Ukraine and the Ministry of Education and Science of Ukraine. Important achievements of scientific institutions of the Odessa region in the field of fundamental and applied research are concentrated in fields such as: economy, agriculture, chemistry, environmental conservation and sustainable development, mechanics, transport. World-class scientific developments are presented in the following fields: chemistry, mechanics, physics and astronomy, biologically active substances and materials, biology, communications, the environment, earth sciences, construction.

According to the Index of innovation development in 2017 the Odessa region took the 5th place among the regions of Ukraine (Figure 1).

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Figure 1. Ranking of regions of Ukraine according to the Index of innovation development in 2017

SWOT-analysis of the state and prospects of innovation development of the Odessa region, that summarizes the above analysis, revealed the following trends:

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For the stable innovation development of the regions of Ukraine and the formation of a systemic vision of short-, medium- and long-term prospects, the development and implementation of appropriate strategies is necessary.

In 2018, a group of young scientists of the Institute (Doctor of Economics Iermakova O., Doctor of Economics Laiko O., Doctor of Economics Nikishyna O., Ph.D. Hetman O., Ph.D. Tsynalievska I.) received a grant from the National Academy of Sciences of Ukraine to conduct a study on the formation of a scientific and methodological basis for the strategic planning of innovation development of Ukrainian regions based on glocalization principles. This research was introduced at the world level to the Organization for Economic Cooperation and Development (OECD).

One of the results of the study was the development of the draft Strategy of Innovation Development of the Odessa Region. The strategy developed by the author’s methodology allows to identify global-local resources for the innovation development of the region, form a strategic vision, determine the appropriate scenarios, priorities and tools for the innovation development of the region. This was the first example of innovation development planning among the regions of Ukraine, based on a modern model of global-local development of regional innovation systems, ensuring their market orientation and ecologization. The approach proposed a determination of priorities as functional areas of development, rather than sectoral ones. Functional support of innovation in the region provides the creation of a favorable institutional environment and a developed regional innovation system.

According to the calculated indexis of innovation for the Odessa region defined scenario of innovation development "Diversification of external relations in the innovation field": the Index of innovation performance of the Odesa region exceeds the average in Ukraine, and the Index of international activities in the innovation field of the Odesa region lags behind the average in Ukraine (Figure 2).

The main strategic goal in the chosen scenario of innovation development for the Odessa region is the formation of a competitive, globally integrated regional innovation system, indicators of which correspond to analogues of regions of industrialized countries.

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Figure 2. Innovation development scenarios of the Odessa region based on the principles of glocalization

For the practical implementation of the strategy, the system of tools and mechanisms is proposed. In particular, this is a mechanism for exemption from taxation by income tax on the financial results of enterprises that are not withdrawn from economic turnover, but reinvested in innovation projects.

The practical implementation of the developed Strategy opens up development prospects for the Odessa region in the face of modern challenges. The development and implementation of innovation development strategies in the regions of Ukraine will become the basis for the revival of the national economy and the strengthening of the global position of the Country.

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