Opinion of the European Economic and Social Committee on The territorial governance of industrial change: the role of the social partners and the contribution of the Competitiveness and Innovation Programme
Date: 2006-09-13
Institutions: European Economic and Social Committee
Subjects: EU industrial policy, EU regional policy, competitiveness, governance, innovation, integrated development, social partners

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Opinion of the European Economic and Social Committee on The territorial governance of indus-
trial change: the role of the social partners and the contribution of the Competitiveness and Innova-
tion Programme

(2006/C 318/02)

At its plenary session of 19 January 2006, the European Economic and Social Committee decided, under
Rule 29(2) of its Rules of Procedure, to draw up an opinion on The territorial governance of industrial change:
the role of the social partners and the contribution of the Competitiveness and Innovation Programme.

The Consultative Commission on Industrial Change, which was responsible for preparing the Committee's
work on the subject, adopted its opinion on 31 August 2006. The rapporteur was Mr Pezzini and the co-
rapporteur was Mr Gibellieri.

At its 429th plenary session, held on 13 and 14 September 2006 (meeting of 13 September), the European
Economic and Social Committee adopted the following opinion by 181 votes to two with eight abstentions.

1. Conclusions and recommendations

two instruments mentioned above, in order to nurture a new
generation of
for development within the
context of globalisation (2).

territorial pacts

The March 2006 European Council centred on the
1.1
relaunch of the Lisbon strategy for growth and employment and
on an integrated, governance-based approach to the new chal-
lenges of globalisation.

1.4
The EESC is convinced that there is no one form of
governance to suit all. Each regional/local tier must seek the
formula that best services the requirements of local or regional
governance, while remaining compatible with the national,
European or international frame of reference.

1.2
The EU must be committed to securing innovative,
competitive and sustainable development for its people, in order
to secure greater economic and social cohesion and spark the
generation and development of new businesses, new profes-
sional profiles and more and better jobs, while preserving the
European social model and focusing on a knowledge-based
economy.

1.5

There are however certain common features:

— structured civil and social dialogue;

The Committee is strongly convinced that without ‘a
1.2.1
new governance cycle based on partnership and ownership’ (1),
all Europe's efforts at boosting competitiveness and employment
will be in vain, and that new models for governance must be
adopted and implemented rapidly and widely.

1.2.2
The Committee feels that both the seventh RTD Frame-
work programme (FP7) and the new CIP are still excessively
top-down in their outlook and do not yet allow for the appro-
priate level of integration and responsible participation of public
and private development players at local and regional level, opti-
mising the essential role of
the social partners to promote
sustainable and lasting growth.

— regular public assessment of the quality and impact of the

actions taken;

— the training of development agents and integrators;

— structured bridges between academia, industry and govern-

ment;

— high-quality education and training structures;

— connection with networks of centres of technological and

scientific excellence;

1.3
The European Union ought to encourage this type of
partnership at local level with authorities and economic players
and especially with the social partners, not least through the

— the creation/strengthening of advanced groupings (districts,
high-tech parks, production and financial conglomerates,
etc.);

(1) See Presidency conclusions of the European Council meeting of 23-24

March 2006, paragraph 4.

(2) See: Pacte Industrial de la Regio Metropolitana de Barcelona ( http://www.
pacteind.org/eng/activities/) which states that ‘The territory's competi-
tiveness lies in the quality of the companies and their workers, …’.

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— an equipped, sustainable, attractive and IT-friendly region;

— effective and accepted structures for reaching consensus and

decision-making, based on public involvement.

This, in the Committee's view, necessitates the forma-
1.9.1
tion of new areas of responsibility as soon as possible in order
to guide the public through the changes. Joint training measures
should be set up for district managers, business leaders and
financial and credit system managers, to be implemented in
conjunction with politicians, public sector officials and local and
regional authority managers.

it

Lastly,

1.5.1
this integrated
is absolutely essential
regional policy include a structured social dialogue, not least by
making more of existing local/regional economic and social
councils with the social partners and representatives of orga-
nised civil
society and by establishing effective forms of
economic and social partnership (3).

that

1.5.2
In this respect, the route indicated by the EESC should
be followed, involving the ESCs and similar bodies of individual
European countries in a structured dialogue with the EESC.

Only

1.10
an integrated and jointly-framed territorial
approach will ensure that knowledge accumulated through
investment in research and development, innovation and educa-
tion can generate the capacity for innovation, giving the Euro-
pean industrial base a competitive edge and enabling it
to
attract human and financial resources.

The success of this new form of governance depends
1.6
increasingly on the capacity to pinpoint
the most effective
degree of proximity for managing problems and finding solu-
tions, in accordance with the principle of subsidiarity, while also
maintaining a coherent framework and shared vision with other
levels of intervention (4).

In that context,

1.10.1
it is of the utmost importance to
examine new ways of attracting human resources to a region,
not least by improving work-life balance and introducing incen-
tives, especially for white collar and highly qualified workers,
such as managers, researchers and industry experts, securing for
them sufficiently attractive benefits in their working life.

is

convinced that

The Committee

1.7
the practice of
exploring possible routes, actions and measures with a medium-
to long-term view, shared by means of foresight exercises, can
make a real bottom-up contribution to the cultural growth of
society and can help to enrich the choices of politicians and
it can also nurture and
administrators. Most
strengthen
technological,
interaction
economic, social, political and cultural sectors necessary for
ensuring sustainable and competitive development.

importantly,

between

local

the

First and foremost, the social partners and representatives
1.8
of organised civil society must be involved in forming a clear
understanding of strengths and weaknesses with a view to
finding new niches on the internal and international market.

1.9
Globalisation generates competitive pressure to moder-
nise, innovate and move up the value chain, and enables goods
and services to be produced and distributed more efficiently and
cheaply. However, there is a danger that if nothing is done in
time,
it will generate new divisions and fragmentation in the
economic and social fabric, particularly at local and regional
level.

1.11
The new CIP programme (2007-2013) cannot be
looked at in isolation from the Community's other regional
policies and programmes. It aims to address the issues by means
of a three-pronged approach: the Entrepreneurship and Innova-
tion Programme; the ICT Policy Support Programme; and the
Intelligent Energy Programme.

transnational

In that light, the Committee is in favour of strong coor-
1.12
the CIP with regional and cohesion policy and
dination of
cross-border,
cooperation
and
measures as well as with the VIIth RTD framework programme
(FP7). A significant part of the latter's ‘Capacities’ programme is
also devoted to developing R&D in SMEs, the Regions of Knowl-
edge, support for innovation and innovative services for compa-
nies and the necessary links between the world of training and
that of enterprise.

interregional

(3) See European Commission guidelines on cohesion policy: An active
horizontal partnership (Social partners, organised civil society, admin-
istrators); An effective vertical partnership (European Commission,
national governments, local and regional governments). See Regulation
EC/1260/1999 of 21.6.1999 and COM(2002) 598 of 7.11.2002.

(4) See ‘Grassroots democracy’.

1.13
The Committee believes it is essential that these initia-
tives be carefully coordinated to secure synergy and avoid over-
laps or inconsistencies. They should be restyled and taken on
board by each region, giving priority to partnership for jointly-
framed local development.

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The Committee would reiterate, lastly, the views it has
1.14
already expressed in a recent opinion on the subject of modern
industrial policy:
‘What is missing is a clear link between the
efforts at EU level, and the necessary involvement of govern-
ments, industry and stakeholders at national and regional level.’

obstacles that might obstruct the creation of a socially respon-
sible area. A more in-depth study of the social resources avail-
able in an area (social capital) calls for a distinction to be drawn
between: institutional capital, cultural capital, symbolic capital,
psychosocial capital and cognitive capital.

2. Definitions

The opinion refers to a number of concepts whose definitions
are provided below.

2.1
Governance: anthropological literature draws a distinc-
tion between three types of Governance (5). Grassroots govern-
ance involves the local coordination of all players, and is charac-
terised by a marked orientation towards all kinds of technology-
related activities. Network governance shows a high level of
coordination between networked players,
in particular firms,
research organisations and funding organisations. Dirigiste
governance is based on a high level of coordination and central
management of key aspects such as funding and research
competence.

2.2 Socially responsible area (6)

An area can be defined as being socially responsible when it
gears its development towards sustainability, thus tying in the
economic, social and environmental dimensions. An area can
define itself as socially responsible if it succeeds in:

— building social

and environmental

considerations

into

economic decisions;

— using a shared system of values and a participatory metho-

dology in decision-making processes;

— encouraging good practice and continuous pooling of ideas
innovation and
in order

to boost

among stakeholders,
competitiveness.

— Institutional capital: the capacity of the formal institutions
in an area to concentrate on problem- solving, their capacity
to act, their speed in decision-making, the quality of infor-
mation available to organisations, their flexibility, and lastly
existing inter-organisational relations.

— Cultural capital: the heritage of a region's traditions, values
and beliefs, the richness of its language, and lastly social
relations and behavioural patterns (7).

— Symbolic capital: the potential of a region to mobilise the
energy necessary to secure its own development and its
potential to provide an emblem for local companies.

— Psychosocial capital: this is based largely on trust, on the
conviction that there is a community and that it has the
lastly, on an awareness of the
potential to develop and,
possibility of cooperation with groups and associations.

— Cognitive capital

is represented by collective know-how,
not to be confused with the human capital of individuals.
Cognitive capital resides in the knowledge infrastructure of
organisations such as universities, research centres, cultural
and professional organisations,
and bodies
responsible for social dialogue (8).

companies

2.4 Foresight (9): the future as a social construct

In order to plan for a socially responsible area, it is necessary to:

— identify the community living there;

— identify its guiding values.

2.3 The social capital of an area

Social capital can take many forms: cooperative or competitive
cultures; a shared sense of community, or polarised interest
groups; differing modes of
traditions and
types of organisation can have a considerable impact on the

learning. Cultural

(5) P. Cooke et al, 1998, Regional Innovation Systems — The role of

governance in a globalised world.

(6) This concept underpins the new JESSICA programme, launched by DG
Regio, financed by the EIB and aimed at particularly run-down city
areas.

The future has to be built. It is people who build it, through
their actions and the sometimes unexpected consequences of
them. It is not simply a matter of telling the future but of
building it socially. The systematic consideration of probable or
possible events can contribute to this process. The systematic
study of the future is an area of research that seeks to shape a
future that reflects our hopes more closely. The aim of foresight
is not therefore to tell the future, but to imagine a future that is
different from the present, made possible by factors such as
changes in technology,
lifestyle, working habits, regulations,
world geopolitics, etc.

(7) In anthropological terms, culture consists of forms of behaviour that
are acquired and transferred through symbols, actions, signs and the
fruit of intellect (Alberoni, Consumi e società).

(8) F.Alburquerque et al, Learning to innovate, OECD seminar 30.9 —

1.10.1999 Malaga, Spain.

(9) Definition of foresight: Systematic, participatory process that involves
the gathering of information and the development of visions for the
future, in the medium and long term, designed to direct decision-
making and mobilise means for joint action.

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2.4.1 With a view to underscoring the guidelines established
by the Lisbon European Council, the Commission laid the foun-
dations for the European Research Area (ERA) (10), the financing
for which was built into the VIth Framework Programme, with
particular attention to territorial foresight (11). Later,
in 2001,
the Commission launched its ‘Science and technology foresight;
links with the IPTS (12)’ unit, designed to promote foresight as a
model for innovation.

— new forms of public and private governance at local and
level coexist within a world context that shows

regional
strong demographic and economic imbalances;

— on the new global liberalised market, new aggressive strate-
gies for economic and commercial penetration have taken
hold, targeting largely the weak points in foreign markets in
order to gain a competitive advantage.

2.5 Grassroots democracy

The Aho (13) report reiterated the need for new models
3.2
of governance, in order to make Europe competitive and aware
of the challenges to the system brought by structural change.

2.5.1
The idea of grassroots has gained importance in
recent years along with other concepts such as subsidiarity. A
grassroots culture enables members of the public to show they
want to play a part in decisions relating to the social sphere.
Thanks to new technologies, knowledge is spreading at a speed
and on a scale that were previously unthinkable.

3. Reasons

As

the third millennium begins,

facing
3.1
profound structural changes that in the space of just a few years
have revolutionised the world environment in which the Euro-
pean economy works and competes. These include the following
in particular:

the EU is

— the workforce present on the open market has doubled with
the entry of more than two billion people into the market
economy area governed by the WTO;

— the economic revolution brought about by globalisation has
tilting the

altered firmly-established economic models,
balance between supply and demand;

— new economic competitors have emerged, some in group-

ings, and have joined the traditional market players;

— companies are seen increasingly as integral parts of a

system, providing integrated knowledge networks;

3.2.1
requires:

The adoption of

this new model

for governance

— a clear change to achieve a genuinely unified European
market,
in order to promote innovation and market new
products and services, and countering the fragmentation
that is the main barrier to investment, business and employ-
ment;

for

— a review of EU worker mobility schemes: this should include
channels
exchange and mobility between science,
industry and government and between countries; new
instruments for dialogue are also needed, to make more of
the European knowledge-based social model and to sow the
seeds for new generations of knowledge-based districts, new
technology and industrial parks, poles of excellence, techno-
logical platforms and clusters;

to address

— a new common strategic vision, using participatory foresight
instruments,
challenges and
internal
external economic challenges and to bridge the gap between
ideas and the practical need to involve all those
political
regions wishing to be part of
the knowledge-based
economy;

social

— the development in the regions of highly professional ‘devel-

opment integrators’ (14);

— company success is increasingly dependent on the new form
of public territorial governance that must operate within a
shared strategic vision;

(10) COM(2002) 565 final of 16/10/2002.
(11) http://www.cordis.lu/rtd2002/foresight/main.htm.
http://www.cordis.lu/rtd2002/foresight/main.htm.
http://www.regional-foresight.de/.
http://prospectiva2002.jrc.es/.

(12) Institute for Prospective Technological Studies. This is one of the seven

institutes that fall under the JRC (Joint Research Centre).

— support for the creation of the European Institute for Tech-
nology (15) in order to stave off a brain drain and attract
professionals from other parts of the world so as to develop
and boost research and innovation within the EU;

(13) ‘Creating an innovative Europe’, report of the Independent Expert
Group on R&D and Innovation, chaired by Esko Aho, January 2006.
(14) People with social and technological experience who, with the help of
technological poles, are able to help micro and small companies with
innovation processes.

(15) See European Council Conclusions of 15 and 16 June 2006.

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— bold European measures to support vocational retraining
and the preparation of relevant multidisciplinary profiles.

— participatory foresight exercises, to foster awareness of a

shared vision/path;

and

Research

design, manufacturing
development,
3.3
systems, logistics systems (16), marketing and client services are
increasingly integrated as functions, acting together as a single
entity that links clients with the inventors of new products.

3.4 Modern company structure has ever less to do with the
availability of physical infrastructure and ever more to do with
the ownership of
It requires an equipped
region, with structures for territorial governance, able to sustain
the capacity to produce and distribute goods and services and to
provide the best possible after-sales service.

intangible assets.

3.5
Developing a clear regional or local identity, reflected in
the social capital, is proving to be fundamental, both to prevent
the risk of relocation, and because new business developments
demand specific characteristics and a high quality of
locally
available services. These standards can be obtained only with
well-trained staff with a high level of awareness.

Awareness of regional/local

identity among the public,
3.6
political decision-makers and social partners allows an inte-
grated approach to environmental and social sustainability,
which brings added value when it comes to attracting new
investment.

Regional/local identity as a quality is based on a combi-
3.7
nation of belonging, recognition and empathy regarding a set of
shared values and a shared vision of
the future. Promoting
regional/local identity involves:

— transparent, participatory models of governance, made
possible through:
the distribution of powers among the
various players and public and private decision-making
centres, capacity building activities designed to secure an
optimal organisational, management and operations struc-
ture, and the sustainable use of local resources,
including
transport, health services, physical resources, infrastructure
and ITC services;

— the development of a ‘pleasing’ image for the area;

— SWOT analyses (17);

(16) See ‘European logistics policy’.
(17) SWOT: Strengths and Weaknesses, Opportunities and Threats

Analysis.

— networking and the exchange of best practice between

regions;

— benchmarking exercises to secure comparative territorial

advantages.

4. The integrated territorial approach (ITA) and foresight
systems for local and regional research and innovation

4.1 ITA and local human resources

4.1.1
comes to making the most of local human resources:

There are various priority areas for actions when it

— a shared common strategic vision (foresight) of medium-
and long-term prospects for local and regional technological
and innovative development;

— structured social dialogue at local and regional level; in this
respect
requirements
regarding information and consultation are fully upheld (18);

that existing legal

is essential

it

— training through high-quality structures designed to keep
workers permanently skilled for the professional profiles
necessary for future regional development, in a context of
global competition;

— the use of the many social tools available to assist workers
hit both by unexpected market changes that exclude them
from development possibilities and by local and regional
decline in crisis areas;

— policy geared towards social inclusion and respect for ethnic

minorities;

— intelligent and responsible management of

flexibility to
broaden opportunities for professional achievement (‘flexi-
curity’ (19));

— full public involvement.

4.2 ITA and the development of a new, stronger form of entrepreneur-

ship

4.2.1
An integrated territorial approach can encourage and
promote the creation and development of businesses, SMEs in
particular, by establishing a favourable environment. This
involves:

— cutting red tape and removing bureaucratic obstacles to the
setting-up and development (in size, for instance) of compa-
nies;

(18) See ETUC document: ‘Restructuring and employment — Anticipating
and accompanying restructuring in order to develop employment: the
role of the European Union’ (ETUC Executive Committee, Brussels, 14
and 15 June 2005).

(19) Flexicurity: the case of Denmark, ECO/167 — Rapporteur: Ms Vium.

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— providing structures

for vocational and other

training,
apprenticeships and lifelong learning, managed by the social
partners by means of bilateral bodies working on the basis
of forward-looking projects;

— establishing

integrated networks

universities,
companies and research centres with standardised work
programmes, methodologies
all geared
towards technology transfer;

and structures,

between

— setting up and relaunching new industrial and technological
knowledge-based districts and integrated industrial plat-
forms: within these the players in the technology sector
expand to take in new centres of
learning and applied
research and look beyond their immediate neighbourhood
to develop production and distribution systems that focus
on the shared values and strategies of ‘learning commu-
nities’;

— establishing (e.g.

through regional development agencies)
networks of industrial and technology parks,
in order to
develop well-equipped regions, able to offer services to aid
the development of new businesses;

— bolstering the values upheld by the JESSICA programme,

aimed at the integration of city peripheries;

— providing a physically, economically and socially secure
environment for the public, companies and the world of
work;

— making the integrated territorial approach to local and
regional industrial policy sustainable, by optimising environ-
mental protection during economic and industrial change.

4.3 ITA, CIP and the seventh framework programme — Consistency

with other Community policies

In 2005, the Heads of State or Government gave further poli-
tical impetus to the relaunched Lisbon strategy, in particular by
emphasising the way in which European values can underpin
modernisation of
the economy and society in a globalised
world.

— improving access to sources of funding and credit, not least
by implementing mechanisms such as those promoted by
the JEREMIE initiative (Joint European Resources for Micro
to Medium Enterprises) throughout the EU;

4.3.1
The March 2006 European Council set out the priori-
ties to pursue in the context of the renewed partnership for
growth and employment:

— developing and disseminating mechanisms for corporate

social responsibility;

— greater investment in knowledge and innovation;

— unlocking business potential, especially of SMEs;

— promoting and strengthening systems

cooperation
between social partners and local economic and social
players, by boosting their institutional capacities and poten-
tial for social dialogue;

for

— modernising the local digital system for communication
between all political, economic and social players present in
the area and the relevant public and private authorities and
institutions. The focus should be on instruments such as e-
government, e-business, e-commerce and distance working,
as well
communication
networks, such as the GEANT (20) network for data transmis-
sion and the GRID systems (21);

high-capacity

broadband

as

— increasing new and sustainable employment opportunities
for priority categories, especially for young people (22),
women, older workers, people with disabilities, legal immi-
grants and minorities.

4.4 More specifically, the CIP Entrepreneurship and Innova-
tion Programme ties into a coherent framework many activities
designed to address key problems affecting competitiveness and
innovation in the EU's economic and social fabric, by directing
innovative and productive measures,
development
protecting the environment and making efficient and socially
acceptable use of resources.

towards

(20) The GEANT project grew out of collaboration between 26 National
Research and Education Networks representing 30 countries across
Europe, the European Commission, and DANTE (Delivery of Advanced
Network Technology to Europe). Its principal purpose was to develop the
GÉANT network — a multi-gigabit pan-European data communica-
tions network, reserved specifically for research and education use.
(21) GRID: a system that integrates and coordinates resources and users
that live within different control domains for example, the user's
desktop vs. central computing, different administrative units of the
same company, or different companies, and addresses the issues of
security policy, payment, membership, and so forth that arise in these
settings.

The FP7 specific ‘Capacities’ programme is intended to

4.5
enhance capacity for research and innovation, in particular:

— by meeting the needs of SMEs needing to outsource research

activities;

(22) See, for instance, the ‘youth pact’ established by the French Govern-

ment.

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— by encouraging the transnational networks of Regions of
Knowledge,
in order to foster the emergence of clusters,
metadistricts and technology and business parks, associating
universities, research centres, companies and regional autho-
rities;

— by tapping into the research and innovation potential of the
Convergence Regions and outermost regions, in conjunction
with action through the Structural and Cohesion Funds.

— institutional and association-based capacity building and
social dialogue initiatives, with a view to planning effectively
and optimising research and technology transfer: all these
elements must work to a vision shared by the economic and
social players experiencing reality at first hand in the field
and must be aimed at giving people new business and
training opportunities, advanced qualifications and new
professional profiles;

Optimising the participation of SMEs in research and
4.5.1
innovation activities will also involve the other FP7 specific
programmes (i.e. ‘Cooperation’, ‘Ideas’, and ‘People’).

— an integrated regional policy able to make the most of local
development potential, enhancing capacity for change and
innovative anticipation,
in order to enjoy the benefits of
new flows of goods and services, human resources and
capital generated by globalisation;

4.5.2
The need to make full use of research results is also
fundamental and a common feature of all the programmes, and
level. In this light,
this is done most effectively at territorial
there must be high levels of coordination, consistency and
synergy with the Community's regional and cohesion policy
instruments and other Community support
instruments for
regional cooperation and education and training.

— consolidated social dialogue at regional/local level, as a key
to maximising the benefits of anticipating industrial and
market change and education and training flows;
this
dialogue must also deliver better job security and greater
flexibility in the organisation of production, distribution and
services.

Furthermore,

4.5.3
the above-mentioned actions must be
coordinated with regional policies related to the reformed Euro-
pean Structural Funds.

4.6
In order to be properly assimilated in the field, these
initiatives, as well as being closely coordinated in order to
secure synergies and prevent overlaps or inconsistencies, must
also give priority to:

4.6.1
The Committee feels that both the seventh RTD Frame-
work programme (FP7) and the new CIP, on which it has
already issued opinions, are still excessively top-down in their
outlook and do not yet allow for the appropriate level of inte-
gration and responsible participation of public and private
development players at local and regional level as is both neces-
sary and desirable. This approach does not in effect give local
players their rightful role as joint guardians of European govern-
ance.

relevant

regional

effects with

— a receptive, well-equipped environment able to generate
synergistic
local
programmes, able to develop international research partner
in order to meet the transnationality criteria of
networks,
European projects and translate research results into real
competitive growth and higher
targeting
current industrial change by means of permanent territorial
networks
universities,
industry and research centres;

interaction between

employment,

promoting

and

— advanced education and training structures designed to
provide a functional response to the demands of economic
and industrial development, based on knowledge:
these
structures should be based on training schemes geared
towards new technology-production,
distribution and
consumption models, and on lifelong learning systems
anticipating responses to industrial and market changes;

territorial pacts

4.6.2
The European Union ought to encourage this type of
partnership at local level with authorities and economic players
and especially with the social partners, not least through the
two instruments mentioned above, in order to nurture a new
generation of
for development within the
context of globalisation (23). These should involve all the stake-
holders in economic and employment development, with a view
to responding effectively to the challenges of the market and
are
competitiveness, moving beyond local mindsets
becoming dangerously restrictive in a world of interconnected
realities.

that

(23) See Pacte Industrial de la Regio Metropolitana de Barcelona ( http://www.
pacteind.org/eng/activities/) which states that ‘The territory's competi-
tiveness lies in the quality of the companies and their workers, …’.

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4.7 ITA, participatory governance, the social partners and civil society

A considerable proportion of sustainable competitive-
4.7.1
ness measures fall within local and regional
responsibility,
making governance systems and cooperation between the
various local and regional authorities, the various bodies and
institutions,
the social partners, companies, and civil-society
players active in the field a priority.

4.7.2 With regard to the concept of governance, reference
to comments made previously by the
should be made
Committee on the subject:
‘private stakeholders must act and
take responsibility through tangible contributions and actions.
[…] Social and civil dialogue are important accompanying
measures’ (24).

4.7.3
As far as strengthening social dialogue is concerned:
‘The EESC agrees […] that, by virtue of their sectoral knowledge,
the social partners are able to play a special role in alerting the
authorities.’

In the Committee's view, it is a matter of implementing
4.7.4
streamlined, proactive and reactive jointly-framed social engi-
neering and decision-making systems, able to maintain a high
quality of political, economic and social democracy, without
weighing down and holding back the development of actions
and initiatives.

The ITA is a governance strategy for the development of

4.8
socially responsible regions.

4.8.1
In a context like ours, open to global competition, any
governance strategy for socially responsible local and regional
development must secure a sustainable trend towards economic
development and high social standards. Such a strategy should
in particular involve:

— constant improvements in quality and the cognitive and
innovative capacity of
the local and regional production
system, through systematic analyses and the jointly-framed
forecasting of social, economic and technological develop-
ment;

— the development of global reference networks for the public
and private sectors, ensuring a constant and clear two-way
flow of interactions with the global market;

— high levels of environmental and social sustainability in the

development of both production and consumption;

— efficient and consolidated processes for the formation and
dissemination of knowledge,
information and on-going
training for technology operators, users and final consumers;

4.7.5
The development of a shared medium- to long-term
vision is essential here, as is the identification and division of
responsibility regarding agreed intermediate objectives, and the
use of advanced and proven tools at regional level such as fore-
sight.

— the preparation of ‘local and regional social balance sheets’
able to measure, monitor and assess the trends that help
qualitative and quantitative objectives to be met, on the
basis of shared standards and methodologies at European
level.

Brussels, 13 September 2006.

The President

of the European Economic and Social Committee

Anne-Marie SIGMUND

(24) See The road to the European knowledge-based society — the contribution of
organised civil society to the Lisbon Strategy (exploratory opinion) —
Rapporteurs: Mr Olsson, Ms Belabed and Mr van Iersel.