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. S&T system reforms

  Economic/social globalization and rapid progress and dissemination of IT have been affecting indivi dual regions directly, and local industries are now exposed not only to domestic competition, but als o to global competition. At the same time, S&T achievements afford local companies a chance to es tablish businesses in the international market quickly and easily.

  Regional R&D resources/potentials can be utilized to upgrade and vary S&T in Japan, as well as to revitalize the Japanese economy through regional technical innovation and creation of new indu stries.

  The "intellectual cluster" is a regional system of technological innovations in which a p ublic research organization uses its R&D potential and other unique abilities to lead companies i n and around a particular region.

  More specifically, by utilizing a human resource network and systematic collaborative researches, t he system fosters interaction between the original technological seeds of the public research organiz ation and the business needs of regional companies to create a chain of technological innovations and new industries. Within such a system, regional development can lead to world-class technological inn ovations. It is thus imperative that Japan establish and support intellectual clusters in as many reg ions as possible.

  In order to establish the intellectual clusters effectively and efficiently, the government should promote various R&D activities, including collaborative researches, human resource training/secur ing, and technological transfer functions, etc.

  And public research organizations including both national and independent administrative institutio ns should develop their R&D functions in the region in cooperation with the local government.

  In order to realize a range of S&T development, it is important that public research organizati ons within a particular region, e.g., universities, develop their original potentials and commerciali ze the results.

  For this purpose, several S&T policies should be adopted within each region, such as the securi ng of professional coordinators to judge/apply technologies and the promoting of interregional techno logical transfers.

  The local government should work together with public research organizations such as national unive rsities within a particular region to regionally promote industry-academia-government collaboration.