Skills for science

and technology
SIX1015
Objectives

In this lecture, students will learn about:

• Knowledge-based economy (K-Economy)

• Triple helix

• Skills and human capital

Concept of knowledge-
based economy

• The knowledge-based economy is an

economy in which production and
ser vices are based on knowledge-
intensive activities that contribute to
an accelerated pace of technical and
scientifi c advance

• The economy is a greater reliance on

intellectual capabilities than on
physical inputs or natural resources
• E x i s t i n g i n d u s t r i e s w i l l b e c o m e m or e
k n o w l e d g e - i n t e n s i ve , w h i l e n e w k n o w l e d g e -
based and enabling industries will emerge.

• A c c or d i n g l y, t h e e c o n om y w i l l b e
c h a ra c t e r i z e d b y k n o w l e d g e - b a s e d a c t i v i t i e s
a n d h i g h - t e c h n o l og y i n d u s t r i e s a c c ou n t i n g
f o r a s i g n i fi c a n t s h a r e o f e m p l o y m e n t , G r o s s
D o m e s t i c P ro d u c t ( G D P ) a n d e x p o r t s .

• Besides being a factor of production,

k n o w l e d g e w i l l b e c om e a c o m m od i t y t o b e
t ra d e d .
The knowledge-based economy relies solely on knowledge Innovation, research, and rapid technological
as a production element and encourages creativity, advancement support the knowledge economy
innovation, entrepreneurship, and flexibility
Factors of production

Allocation of resources
• Land (raw materials, natural resources)

• Labor (workers’ time and eff or t,

exper tise)

• Capital (equipment, plants, wealth,

etc.)

• Knowledge
Pillars of the knowledge-based economy

1. Skills and knowledge are key assets. Skills and knowledge

become the main assets for the economy to gain
competitiveness.

2. A highly educated labor force . The knowledge economy

comprises a better-informed populace as the government
invests more in human development. Workers contribute
ideas, skills, and knowledge by using the latest technology.
3. Information and communications technologies (ICTs)
are pillars of the knowledge-based economy. Access to
networking is essential in acquiring and disseminating
knowledge and the Internet is a key driver of ICT especially
in the development of E-based activities, resulting in new
approaches to doing things.

4. R&D is not just about doing research work in laboratories.

It also involves the economic aspect
Skilled and Educated human
capital

• Technological change and innovation drive the development of

the knowledge-based economy, so the creation of highly skilled
and quality human capital is impor tant

• Most employees are highly computer-literate and skilled at

building business and fi nancial models

• The growth of the knowledge economy is infl uencing labour

market demands for competencies and abilities.
2 1s t Ce nt ur y Sk il ls in to four m a in c at eg or ies :

1. Pers on al sk ill – e . g ., C re at iv ity, p roble m - solv in g a nd c rit ic a l t hin k in g

2. Soci a l s k il ls – e. g ., c om m un ic a tion , te amwork , e ntr ep ren eu rsh ip

3. In form a ti on a nd k nowle dg e – e . g ., in de pend en t lea rn in g , i nfor m at ion

li te rac y

4. D ig it al li te rac y
• A n in dividua l’s s ki lls ar e ge ne rally divide d i nto two type s; ge ne ra l s kills
a nd s pe c ifi c skill s

• K no wl e dge gai ned fr o m sc ho o l (o r o th er fo rmal mo des ) is ca te gor ize d a s

ge ne ra l s kills si nc e the kno wledge do es n o t have any in ten ti on t o bui ld
s pe c ifi c ex per ti se. T h e ma in pur pos e of ge ne ra l ski lls is t o deve lo p h igh
c o gnit ive abili tie s in st ude nts

• S pe cifi c s kil ls are c o nvers ely ac quir ed fro m t he wo rkpl ac e a nd th ey a re

u sua lly deri ve d f ro m e xpe rie nc e a nd o n-th e-j o b train ing . Th es e type s o f
s ki lls de pe nd on t he wor k co n ditio n s; in ge nera l, diff er ent j ob
s pe c ifi ca tio n s r equi re diff ere nt s kil ls
Building human Capital in K-
economy

Three levels:

1. Individual – skills development in form of education (formal and

non-formal experiences), and training

2. Group- a culture of innovation, risk-taking, and entrepreneurship

3. Organizational – the leadership should actively develop, nur ture

and maintain the culture that values innovativeness
Research and Development & Innovation

• Besides highly skilled human capital, innovation is one of the

most important key drivers in a knowledge-based economy

• Being actively involved in R&D activities has a positive impact

on innovation

• Knowledge inputs (R&D) are expected to generate some

knowledge output (innovation), which in turn is expected to
have a direct impact on economic performance
• Technology Push is when research and development in
new technology, drives the development of new
products.

• Technology Push usually does not involve market

research. It tends to start with a company developing an
innovative technology and applying it to a product. The
company then markets the product.
The term 'Market Pull', refers to the need /requirement for a
new product or a solution to a problem , which comes from
the market place. The need is identifi ed by potential
customers or market research . A product or a range of
products are developed, to solve the original need.
Triple helix
model of
innovation
Stimulating knowledge-based economic
development
T h e hy b ri d Tr i p l e H e l i x m o d e l c a n b e c h a r a c t e r i z e d b y t h e f o l l o w i n g e l e m e n t s :

• a p r om i n e n t r o l e f o r t h e u n i v e r s i t y i n i n n o va t i o n , o n a p a r w i t h i n d u s t r y a n d
g ove r n m e n t i n a k n ow l e d g e - b a s e d s o c i e t y

• a m o ve m e n t t o wa r d s c o l l a b o ra t i ve r e l a t i on s h i p s a m o n g t h e t h r e e m a j o r
i n s t i t u t i o n a l s p h e r e s i n w h i c h i n n o va t i o n p o l i c y i s a n ou t c om e of t h e i r
i n te ra c t i o n s ra t h e r t h a n a p r e s c r i p t i o n f r om t h e g o ve r n m e n t

• i n a d d i ti o n t o f u l fi l l i n g t h e i r t ra d i t i o n a l f u n c t i o n s , e a c h i n s t i t u t i o n a l s p h e r e
a l s o “ t a ke s t h e r ol e o f t h e o t h e r ”
• Each actor is linked to another and helps in the
structure of inter faces between them. For example,
the industry will gain some of the values of the
university, sharing as well as protecting knowledge.

• In this model all three spheres will be able to

actively interact and collaborate with one another
to promote strong innovation activities. All of them
will gain values from each other that can help them
achieve common long-term strategic goals.
References

Walter W. Powell and Kaisa Snellman. 2004. T he knowledge economy.

Annual Review Sociology. 30:199–220.

Abd Razak, A., & White, G. (2015). The Triple Helix Model for
Innovation: A holistic exploration of barriers and enablers. International
Journal of Business Per formance and Supply Chain Modelling, 7(3), 278-
291.