The NSW Innovation and Productivity Council has released a series of recommendations aimed at unlocking greater value from the state's thriving innovation sector, while improving the measurement of the effectiveness of government support.
The report, Accelerating NSW: The Impact of Co-working Spaces, Accelerators, Incubators, and Startup Hubs (CAISH Entities), highlights NSW as the hub of the nation's startup economy. Despite the recognised role of innovation ecosystems in mitigating risk for startups, the report highlights the need for a deeper understanding of optimal support mechanisms.
Minister for Innovation, Science and Technology, Anoulack Chanthivong, welcomed the report, highlighting the thriving community of innovators in NSW, with a remarkable 325% increase since 2013.
Chanthivong said, "Not enough has been done to measure their value or to look at whether there are more cost-effective ways to support this part of the economy."
He added that while the government is committed to fostering an environment for entrepreneurial growth, it is crucial to ensure that infrastructure and programmes deliver tangible results.
The framework proposed in the report is designed for use in NSW Government-funded programs and CAISH units, and will be integrated with the Council's NSW Innovation and Productivity Scorecard. This integration aims to provide estimates of the value of CAISH entities to the NSW economy.
Council Chair Charlie Taylor emphasised the significance of the report, noting that despite significant growth in start-ups and support organisations, understanding of their economic impact remains limited.
"For the first time, we've been able to map all of NSW's CAISH units," Mr Taylor said. "Through the framework we've developed, we can effectively measure their success and identify areas for potential improvement."
The Council report can be viewed online.