Promoting alignment between innovation policy and inclusive development in South Africa

Figures & data

Figure 1. Framework for analysing the policy environment. Source: Foster & Heeks (2015).

Table 1. Coding policy objectives and goals in terms of IID.

IID Policy Objectives	Policy Goals
(1) Orient formal innovation systems towards the poor	New partnerships for inclusion
	New partnerships for innovation
	Build links into local income groups (inclusion)
	Build links into local income groups (IID)
	Improve institutional environment for IID
	Improve institutional environment for inclusion
	Improve institutional environment for innovation
(2) Promote grassroots innovation	Link informal sector into innovation systems (IID)
	Nurture diffusive capacity of innovative local networks (IID)
	Support growth of intermediaries (IID)
(3) Improve absorptive capacity of low-income groups	Build capacity of informal sector (inclusion)
	Build capacity of informal sector (innovation)
	Support new models of innovative development (IID)
(4) Drive effective use of innovations among low-income groups	Promote use of innovation among low-income groups (IID)
(5) Reduce structural barriers in government to supporting informal sector development	Barrier to livelihoods (inclusion)
	Barrier to quality of life and livelihoods (inclusion)

Source: adapted from Foster & Heeks (2015).

Figure 2. Word clouds on the key objectives for ‘innovation and development’ and ‘socio-economic inclusion and development’.

Figure 3. Venn diagram illustrating the main intersecting objectives of improved well-being, income and livelihoods, by department.

Figure 4. Proportion of policy instruments potentially significant for promoting grassroots innovation, by department.

Figure 5. Spaces to deepen and extend policy alignment to promote grassroots innovation, towards IID.

Table A1. Dimensions, categories and purposes of the analytical template used to create the MS Access database.

Dimension for policy review	Categories for each dimension	Definitions of key categories for policy text analysis and classification	Purpose and main policy source	NVivo analysis
Basic information	Government department/agency Title of policy text
View of innovation and inclusion	Type of innovation Type of socio-economic inclusion Target group Key terms and definitions – innovation and inclusion Key terms and definitions – development and inclusion	Innovation: Process innovation (new or improved way of producing goods and services) Product innovation (new or improved material goods and services) Organisational (new or improved organisational arrangements for producing innovations) Socio-economic inclusion: improving well-being/income/livelihoods Target group: type of informal actors, or where there was no mention of informal actors, other target groups were identified.	The aim is to elaborate the prevailing policy worldviews, by identifying the ways in which each department conceptualises IID or its equivalent, given the range of possible terms and definitions that could be used.	Text query and word frequency analysis – yields word tree and word cloud. (Type of innovation was not analysed as the data was not adequate.)
Specific policy content	Policy objectives Specific policy goals Process of socio-economic inclusion Policy instruments	Policy objectives: broad statement of intent Orient formal innovation systems towards the poor? Promote grassroots innovation? Improve absorptive capacity of low-income groups? Drive more effective use of innovations among low-income groups? Reduce structural barriers to inclusive innovation? Other? Policy goals: more specific and linked to practical policy instruments Type of socio-economic inclusion: stages at which informal actors involved (identification of the problem, design, research, implementation, monitoring) Policy instruments: those promoting an IID orientation specifically are identified	The aim is to analyse policy objectives, goals and specific instruments that may relate to IID.	Text query and word frequency analysis – yields word tree and word cloud. Relative proportion of inclusion, innovation or IID related instruments per department, to reflect the main emphasis of goals.
Policy actors/partners	Government departments/agencies mentioned (and responsibilities) Other actors mentioned (and responsibilities) Relationship between actors (structure) Level (national/regional/sectoral)	Government departments and other actors: identify and list the policy actors involved Relationship: how is it intended that actors should coordinate or work together? Level: what is the level of each actor? Is IID delegated to a lower level department or implementation agency?	The aim is to identify policy structures that promote coordination and collaboration around IID at diverse levels.	Focused analyses for small-scale agriculture, grassroots innovation and water and sanitation provision. Text query and word frequency analysis – yields word tree and word cloud. Relative proportion of inclusion, innovation or IID related instruments per department, to reflect the main emphasis of goals Diagrams constructed of policy instruments to highlight spaces for intervention.
Implementation	Implementation plan Diffusion plan Incentives	Is there an implementation plan? How is the policy taken to the target group? What is the implementation mechanism? What are incentives for target groups?	The aim of these two dimensions is to identify the ways in which there are plans to ensure and assess policy impact.	Frequency count
Monitoring/evaluation/impact assessment	Monitoring and evaluation mechanism and indicators	Are indicators defined for monitoring and evaluation to assess impact as part of a strategy?		Frequency count

Table A2. Policy alignment, misalignment, coordination and gaps.

	IID OBJECTIVES
Type of policy	Policy actor	1. Orient formal innovation systems towards inclusion of needs and knowledge of informal actors	2. Reduce structural barriers in government to supporting informal sector development	3. Promote grassroots innovation	4. Improve absorptive capacity of informal actors	5. Drive effective use of innovations among informal actors
Innovation policy	DST: to enable science, technology and innovation in support of inclusive national development	Gap: DST needs to create an integrated strategic focus to coordinate and create new instruments to promote innovation, participation and livelihoods in the informal sector	Gap: DST to identify mechanisms and actors to link and connect programmes and interventions at local implementation levels, across government departments			Gap: DST to create mechanisms to review, incentivise and support formal SETIs to extend their knowledge to engage with the needs and knowledge of informal and marginalised actors
		Potential partners for coordination and alignment: dti; DSBD; EDD; Presidency; DRDLR; DWS; DAFF	Potential partners for coordination and alignment: Treasury; Presidency; DTI; DSBD; EDD; IDC; DRDLR; DAFF; DWS; DBSA	Potential partners for coordination and alignment: DAFF, dti, SEDA and DSBD; EDD; Presidency; DWS; DRDLR	Potential partners for coordination and alignment: DSBD; SEDA; Small Enterprise Finance Agency (SEFA); EDD; Presidency; dti; IDC; DAFF; DWS; DHET	Potential partners for coordination and alignment: DSBD; SEDA; SEFA; DAFF; DWS; DRDLR
Socio-economic inclusion policy	DSBD: SMME development, including micro, very small, small and medium enterprises and cooperatives in the formal and informal sectors	Extend and align: DST to align with and integrate DSBD new policy instruments to promote technological upgrading, transfer and diffusion, to complement support for developing business management skills and improving standards	Extend and align: DST’s focus on local economic development should be aligned with DSBD instruments to build capacity of local business associations and municipalities to support informal enterprises	Extend and align innovation instruments: DST to align with SEDA and SEFA as potential partners for grassroots innovation with technology entrepreneurs in informal sector	Extend and align: DST to align with DSBD, SEDA and SEFA, to extend model of community–private sector partnerships to support rural enterprise development and cooperatives through technological upgrading	Extend and align: DST and DSBD to align and coordinate SEDA and SEFA instruments to create technology platforms and promote technology transfer
		Gap: DST to link with and introduce innovation policy targeted to the informal sector into DSBD’s NIBUS programme to uplift informal businesses	Gap: Key DSBD instruments focus on formalisation with requirements that may preclude participation by cooperatives in the informal economy		Extend and align: DST to align with and implement more effectively, SEDA and DHET collaborative model of entrepreneurship skills training for micro-enterprises	Align for innovation: DST’s Technology Stations Platform to be coordinated and aligned with DSBD’s initiatives, to improve support to micro-enterprises and cooperatives
			Gap: targeted strategies to address distinct needs of different types of informal actor			Extend model for socio-economic inclusion: DSBD to strengthen implementation and DST to explore potential of models for informal enterprise support, and the potential of cooperatives as a mechanism to grow livelihoods
	DRDLR: Land reform and revival of rural economy	Extend and align: DST to coordinate with DRDLR formal structures and programmes	Extend and align: DST to align with DRDLR strategy for revitalisation of technology infrastructure and public facilities in rural areas	Align for innovation: DRDLR’s Rural Infrastructure Development unit is an important potential implementation partner for grassroots innovation in rural areas	Extend and align: DST and DRDLR to align and implement Comprehensive Rural Development programmes for skills training, employment creation and support to small-holder and land reform farmers	Extend and align: DST to align DRDLR AgriParks initiatives with its own strategies for innovation hubs and regional innovation systems
		Extend and align: DST to integrate goals of innovation into DRDLR strategies and instruments targeting informal actors, to promote livelihoods	Misalignment: DST to improve and support the alignment and coordination between DAFF and DRDLR programmes and interventions around livelihoods	Gap: DST to investigate potential role of AgriParks as local space for grassroots innovation programmes		Extend model for socio-economic inclusion: DRDLR to strengthen implementation and DST to explore potential of models for participation in land use and rights
				Gap: DST to integrate goals of innovation into DRDLR strategies to promote rural enterprises and industrial development in rural areas
	DWS: Improving access to and equitable use of water services	Extend new models for socio-economic inclusion and innovation: work with DST to draw on DWS models, to inform strategies for inclusion and participation in other types of public goods provision		Extend innovation model: DWS and DST to facilitate participation of informal actors in sanitation innovation and technology networks	Extend model for socio-economic inclusion and align with innovation: improve and extend implementation of capacity building programmes and models to facilitate innovation by users, and using innovation to improve access to resources	Extend model for socio-economic inclusion: DWS to strengthen implementation mechanisms for new models promoting participation of informal actors, as vehicles for diffusion
		Extend strategy: DWS and DST to extend research and innovation strategy to integrate IID	Gap: DWS and DST to adapt Water and Sanitation policy model, to align with DWS policy on resource-poor farmers, to facilitate participation in formal structures and innovation processes	Gap: DWS, EDD, DSBD, DST to support creation of livelihood opportunities in relation to provision of water and sanitation	Potential alignment: strengthen coordination between DWS, DST, DAFF and DRDLR around implementation of water usage strategies for resource-poor farmers
Contextual policy	DAFF: Promote small-scale agriculture and aquaculture	Extend and align: DST to draw on and extend existing DAFF models for linking informal agricultural actors into formal value chains into other sectors	Extend: DAFF to adapt and implement instruments for regulation and standard setting to embed inclusion of small-scale and informal actors		Extend and align: DAFF to build capacity of extension and advisory services to more effectively promote diffusion	Extend and align: DAFF to adapt extension policy to integrate innovation in agriculture and aquaculture extension and advisory services to more effectively promote diffusion, by building capacity of extension officers and adviser
		Gap: DST to integrate goals of innovation and participation into DAFF strategies and instruments targeting informal actors, to promote bi-directional knowledge flows and agency	Misalignment: the alignment and coordination between DAFF and DRDLR programmes and interventions need to be established more strongly	Gap: DAFF articulates the goal of identify innovation by small-scale farmers, but there is no instrument to promote grassroots innovation or harness indigenous knowledge		Extend and align: DAFF and DST to investigate potential STI role and implementation of Agriculture Development Centres
						Extend model for innovation: DST to draw on extension model of technology transfer, for promoting diffusion of technology and innovation to informal actors
	DTI: Development of SMME clusters and economic zones	Extend and align with DST and DSBD: expand clusters beyond small set of formal sectors and focus more on participation by micro enterprises and technology entrepreneurs in the informal sector	Extend and align: the dti to deepen capacity development across government to promote economic zones		Extend and align with innovation policy: DST to work with the dti and IDC to support and extend SME development instruments in sectors aligned with Industrial Policy Action Plan
		Potential alignment with DST : economic zones and regional innovation systems that extend to include informal enterprises	Gap: the dti to ensure that policies to strengthen framework conditions for industrial development and black economic empowerment do not disadvantage informal actors	Gap: the dti and DST to explore the potential for adapting innovation support instruments to include targeted and earmarked incentives for grassroots innovation
		Gap: the dti to create incentives for business to develop pro-poor innovative solutions
	EDD: promote economic development through participatory economic policy and planning	Extend and align: DST to work with EDD to ensure inclusion and creation of livelihood opportunities in Strategic Infrastructure Projects	Extend and align: DST’s focus on local economic development should be aligned with IDC instruments to build capacity of local municipalities to support informal enterprises and job creation	Extend and align for innovation: DST to align and integrate grassroots innovation into EDD and Presidency instruments to promote youth entrepreneurship, cooperatives and employment in marginalised urban and rural locations	Gap: DST to work with IDC to extend entrepreneurship funding instruments that can accommodate and support informal actors
	Treasury: coordinate macroeconomic policy and promote national fiscal policy framework		Extend and align: DST to work with Treasury, DSBD and DAFF to coordinate implementation of targeted financial institutions to support cooperatives and to improve access to credit
			Coordinate and align: DST to align with Treasury initiatives to promote good governance and processes of public participation
			Gap: DST should review DBSA instruments to determine the inclusiveness of their research and the potential to extend these to informal actors
	The Presidency: support the execution of government programmes	Gap: DST to work with the Presidency to orient its Medium Term Strategic Framework actions and commitments to include pro-poor innovation and socio-economic inclusion	Coordinate and align: DST to align with the Presidency’s promotion of goals of National Development Plan, and monitoring of progress on outcomes and MTSF targets.	Extend and align for innovation: DST to align and integrate grassroots innovation into Presidency and EDD instruments to promote youth entrepreneurship, cooperatives and employment in marginalised urban and rural locations

Foster, C & Heeks, R, 2015. Policies to support inclusive innovation. Development Informatics, Working Paper 61, Centre for Development Informatics, University of Manchester, UK.

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