8 SZOMBATHELY In terms of economic development, the Municipality of Szombathely City with County Rights considers it of utmost importance to support local employers to increase the efficiency of their activities and to make their future investment decisions on the one hand, and to provide an attractive value proposition for new businesses when making their decision on establishment on the other. The ten-year economic development programme called Szombathely2030 has been compiled with these aspects in mind. SZOMBATHELY’S RESPONSE TO THE COMPLEX ECONOMIC DEVELOPMENT CHALLENGES The industry of the city is characterized by the dominance of large automotive companies. Accordingly, its industrial structure is mainly labour intensive and therefore it is highly exposed to automation, digitalization, robotization and industry 4.0 processes – the currently ongoing industrial restructuring -, and to the impacts of the pandemic situation on the economy which have accelerated the process of industrial restructuring. On the one hand, it is extremely significant to the city to assess the real needs of local manufacturers with two-way communication and to assist their activities in the above-mentioned processes via ensuring high-quality research and development, innovation and educational background on the other. This will contribute to create long-term, quality, crisis resilient workplaces and to integrate knowledge intensive elements into labour intensive industry. However, in order to make the economy and industry of Szombathely more stable and knowledge intensive, diversification is crucial, i.e. the creation of a second leg which can also function as a breakout point. This stable leg is healthcare industry, on the one hand reacting on European Union and national development priorities, and building on the long history of thermal baths and sport rehabilitation as well as on the spa and health tourism of the region, the solid institutional system on the premises and the proximity to Austria, mainly Burgenland on the other. In order to enSZOMBATHELY 9 2030 courage the establishment of healthcare manufacturers, it is necessary to ensure an R&D&I and an educational background with a focus on healthcare industry, and the relevant elements of the programme have been compiled accordingly. THE TWO KEY AREAS OF THE SZOMBATHELY2030 PROGRAMME On the basis of the above reasons and the local features of Szombathely and its region, as well as the needs of local businesses, two key areas have been highlighted in the programme, the soonest realization of which can contribute to strengthening the economic structure of the city and building a crisis resilient knowledge economy to the largest extent, according to a wide range of shareholders. The clear aimof the defined focal points is the two-directional support and promotion of the successful industrial restructuring. One key area is strengthening and supporting industrial digitalization, primarily focusing on automation, robotization and artificial intelligence; through national and international start-ups, SMEs and large companies. Through this the transformation and industrial restructuring of automotive industry dominating the economy of the city and the region can be supported efficiently, but also the establishment of healthcare industry can be proactively stimulated. Within healthcare industry, the other focus is unique specialization based on the regional characteristics, complex rehabilitation with special emphasis on sports, stroke and musculoskeletal rehabilitation and combining academic and applied research with user needs. The objective is to create an environment for development, demonstration and testing which is unique even at an international level and connects households, social institutions (eg. nursing homes), thermal baths and a virtual hospital infrastructure. Towards a resilient knowledge economy Szom thely FLAGSHIP PROJECT OF THE SZOMBATHELY2030 PROGRAMME As flagship project of the programme a complex development has been designated which physically unites the most significant elements of the two key areas detailed above. This means the creation of a research and development, innovation and education centre (RDI centre) in one of the focal points of the North Industrial Area which has specifically advantageous characteristics. The idea of the RDI centre is to provide quality educational and research and development services for businesses already existing in Szombathely to increase the efficiency of their activities, to help them make future investment decisions and to provide an attractive value proposition for new businesses when making their decision on establishment. Not only shall the centre assist the work of large companies but it is also supposed to dynamize new local businesses, start-ups, helping them survive, enhancing their prosperity and serving as a solid base in the economic environment of the post-Covid era full of turbulent changes. Besides the city, universities, research institutes and organisations dedicated to utilize technological know-how will play an important role in the development of the RDI centre. All three partner universities who have signed the Szombathely2030 Cooperation Agreement intend to establish new academic units, skills development and testing laboratories in the centre, indicating that they wish to play an important role not only in education but also in research and development. Óbuda University intends to implement their developments and trainings in the area of manufacturing technology and artificial intelligence, the University of Pécs in healthcare and rehabilitation, while Eötvös Lóránd University in the area of trainings tailored to individual company needs and digital education methodologies. Accordingly, prioritised project elements of universities include the Robotics and AI Centre, the Regional Rehabilitation Education and Research Centre, the Digital Methodology Centre; new trainings (healthcare engineering, new rehabilitation trainings) as well as trainings providing foreign-Hungarian joint degrees. The Szombathely2030 team is in contact with Austrian and German research institutes who are also planning to establish their own offices and laboratories in the RDI Centre, and the Pannon Business Network Association will be represented by a Digital Innovation Centre with a completely digitalized teaching and research production line amongst others. This will enable the launch of individual research and development projects. Apart from training and research and development, another important element of the RDI Centre is the establishment of a healthcare industrial demonstration and testing environment which is unique at Central-European level connecting real nursing homes, households of the elderly and virtual hospitality infrastructure; mobilizing service providers of thermal tourism, creating medical testing laboratories and senior-friendly smart homes equipped with sensors and launching a digital health clone programme. Regarding the infrastructure, the RDI Centre will cover an area of about 25.000 m2 in the first round with further expandable units in a modular system. A possible second module might be built for a large healthcare company while a third module would serve as an incubator for the SME sector with special focus on enterprises working in any area of complex rehabilitation. The RDI Centre intends to develop a dynamic and prosperous business environment in a period of economic downturn caused by COVID and beyond which greatly increases knowledge concentration in the space, enhances the economic stability and industrial diversification of the city, themobilization and development of enterprises which might have crippled during the crisis, as well as the support to the shareholders of the SME sector with the help of venture capital, and with international export opportunities as well.
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