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Dr. George Ivaniashvil-Orbelianii, has been elected as a Visiting Scholar by the Management Committee of the Centre for International Studies, University of Cambridge. Within the framework of this program he has carried out the research — Implications of European Neighbourhood Policy on National Competitiveness of Georgia.
This study rethinks and makes critical analysis of existing theoretical aspects of national competitiveness and clarifies the framework for the European Neighbourhood Policy prospects in the context of Georgia's performance.
Despite a National Competitiveness is substantially linked to globalization, only a few studies have linked these two subjects from the perspective of developing countries, which presents complex challenges to policy makers and researchers. We argue that Porter's Diamond Model is basically relevant for economically strong industrialized countries and is less applicable for developing economies. The contention is that driving forces of globalization (FDIs, transnational companies and Breton Woods Institutes) have different implications on national competitiveness according to internal capacities and external opportunities. The paper makes critical analysis of existing theoretical aspects of national competitiveness. It also clarifies the framework of National Innovation System, which has been successfully used in OECD countries and more recently is becoming the focus of increased attention from developing nations. Attention is concentrated on defining the aspects of Georgia’s competitiveness, evaluating the country’s economic performance, and suggesting practical recommendations for reforms and development.
Keywords: Globalization, Competitiveness, National Innovation System, European Neighbourhood Policy, Georgia, Caucasus, Economic Development.
The research project - National Innovation Strategy Framework for Georgia, financed by the German Technical Cooperation Agency (GTZ), has been carried out by ICSRPA Experts.
This study is intended to illustrate the methodology of the National Innovation System (NIS) Framework, and provide policy makers with a tool to understand the constitution and characteristics of (NIS) in Georgia, to evaluate the nation's innovation capabilities and performance, and better assess policy choices and potential impacts. This research attempts to set the significance of national innovation policies in Georgia in the context of the fast pace of globalization and national competitiveness, and explores the role of 'Triple Helices'- government, business and academia, in the task of creating and implementing national innovation systems through innovative interventions at national and regional levels. It focuses on the best practices and seeks to examine the various instruments and institutional arrangements that successful, newly industrializing countries have adopted to encourage local technology development and attract cross-border innovation investments. Consequently, we explore the determinants of national and regional competitiveness, rooted in the strategies and operating practices of locally-based firms, the vitality of clusters, and the quality of the business environment in which competition takes place. The framework examines mainly the role of the government policy, but it also deals with the roles that firms, industry associations, universities, and other institutions play in competitiveness.
In 2007 ICSRPA Chairman and CEO George Ivaniashvili was awarded a Fellowship of Norwegian Institute of International Affairs (NUPI) for his innovative research-- Analyzing the EU-Georgia Neighbourhood Policy Action Plan: Modern Benchmarking Approaches to Knowledge Management and Innovations in Georgia This study clarifies the framework for the European Neighbourhood Policy prospects in the context of Lisbon Strategy for Growth and Employment and EU-Georgia Neighbourhood Policy Action Plan. The EU has created the model of how to cultivate innovation through quality education connected with research. If Georgia is to develop its capacity for innovation and competitiveness in information-based economy, the country must be prepared to renew its national commitment to quality education at every level and to reinforce the values of life-long learning. Education institutions and think-tanks are acquiring increasing importance as an instrument of economic, social, and cultural development at both the regional and national levels and also as a means of bringing about change in the community in which relationship between education, science and business is receiving increased attention. Produced by technological progress, the universities need to redefine their objectives, their roles, and their functions. Educational systems in general need to become much more relevant so as to be in perfect harmony with their local, national, and international environments. Attention has been concentrated on inter-correlation among science, higher education institutions and business, and their involvement in promoting sustainable development of human resources and human capital, in order to increase innovative potential in university activities through assisting in development of curricular resources, research and teaching methodologies.
Globalization and National Competitive Strategy-Creating Competitiveness in Georgia The challenge of Globalization has affected all economies creating a new complexity that requires new thinking and new strategies and approaches from both the public and private sector. Why do some countries have higher economic growth rates than others?. Why do some industries and businesses grow faster and more consistently than others?. Globally competitive performers share many of the same characteristics and practices regardless of industry or geographic location. The most competitive countries have instituted effective economic policies, and developed a favorable operational environment. What are the implications for Georgia? This study is an effort to identify key factors and apply the best practices based on benchmarking method that will benefit Georgia. It contributes to an improved ability of both Government and industries to: Understand the challenges and opportunities of globalization Focus on knowledge management and innovative strategies Initiate public-private dialogue on private sector development issues Analyze industry value chains
Modern Benchmarking Approach to Higher Education Reform in Georgia: The Role of Higher Education in National Competitive Strategy Recently Georgian society has demonstrated an increased awareness of higher education reform which has become a widely debated issue. This increased awareness has been translated into certain policy and legislative changes which is required to tackle the specific aspects of university life in a more effective way. Georgian higher education system and science confront the task in engaging professional administrators and distinguished scientists with outstanding performance on both domestic and global arena. They need to be capable taking their responsibilities productively according to the modern western standards. From our point of view, the main reason of why the quality and relevance of both undergraduate and postgraduate education in most universities fails to be competitive, is that administration lacks competence, leadership, strategic planning and decision-making skills, modern vision. Also, vast majority of professors involved in university activities are those who lack adequate research background and resources, international affiliation and recognition, curricular resources, innovation skills and potential. Students do not have the access to the modern syllabi, relevant literature in native language, skilled and qualified lecturers, and consequently, young generation lacks the opportunity to be competitive for meeting the needs of a highly demanding and diversified job markets. In our research we have explored the modern benchmarking approaches to policy aspects of higher education reform and their role in national competitive strategy through focusing the critical issues of knowledge management, strategic planning, competence, meritocracy and accreditation policies in higher education system of Georgia.
Struggle for The Power and Controversial Issues of Elitism On the verge of a new millenium, when the world has entered an era in which the idea of sustaining democracy is an ascendant governing principle, theories on elites again have been concerned with the historic role of the state in guiding modern societies and the participation of various kinds of elite groups in the process of governance. The role of elites within democratic governments presents democratic theorists with one of the thorniest problems. On the one hand, democracies are based upon some type of political equality among citizens—an equality which must be politically significant. On the other hand, in transition democracies we find democratic inequalities, sometimes great ones. Recent years have witnessed ongoing debates between ‘pluralists’ and ‘elitists’ concerning elites’ role in contemporary democracies. Pluralists have argued that power is significantly decentralised, with opportunities reasonably available to organised groups seeking to influence policies of interest to them. ‘Elitists’ have argued by contrast that most effectively organised interests represent the upper or ruling class, and that opportunities for others to influence public policy are generally open only to the degree they harmonise with upper class interests. Poor and politically powerless populations are likely to bear the burden of greater uncertainty and unacceptable risk. Therefore, the question regarding the social responsibility or national responsibility of the elites requires, as a more pondered response. Independently of the "democratization" of Capital the mechanics of the reproduction of the elites has become more robust. At the same time, the elites begin to close themselves off in the defense of their own more particular and narrow interests, which threatens not only the idea of democracy but also the very concept of the Nation. This irresponsibility of the elites fosters an exacerbation of individualism and a culture of conflict which cannot be sustained. What can be done to revive this social responsibility of the elites is one of the great challenges of our times. The appeal for an ethics of solidarity, a redefinition of national values and, especially, the struggle against inequality, which the elites today consider as something quite natural and even acceptable, are ideas which only Politics, as the art of building consensus, can resolve. Countries of democratic transition confront the task of inventing and adapting political structures, social norms, and institutional arrangements to cope with transnational flows of capital, people, goods, environmental resources, ideas and images at a pace unimagined just a generation ago. While some of these challenges are not effectively met by national governments, it is necessary to elaborate innovative strategies, which goes beyond national borders and demands universal mobilization. And this is the one of the greatest task which should increase in our understanding of how our actions today will affect next generations tomorrow, and which should guide our world’s development through 21st century.
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