the Role of Innovation in the Economic Growth Process
Surrounding the Role of Innovation in the Economic Growth Process

Innovation Innovation is an essential element for any organization in order to survive, grow and significantly influence the direction of any industry. Development does not; however, guarantee success, but most be followed up with successive streams of innovation and change, from the incremental to the radical. The most reliable way to be successful in the industry is to innovate better and longer than the competitor, leading companies develops innovation portfolios that they can use to help sustain growth over the long term. Innovation and change is an essential part of any business activity, but only some people recognize its importance and significance. Often, management fails to notice the implication of innovation and change, which becomes the reason of the change failure. Innovation can be summarized in two main areas: innovation is doing something nobody has done in the history of the world or do something that we have not done before. Innovation does not always fit with what we do, and a lot of new opportunities that are found in the company do not sit well with her. So the first step is to create a "space" where these opportunities can be developed, at their own pace and without neglecting the routine tasks. It is therefore; necessary to release resources to enable people to experiment with these new ideas. It is also necessary that senior management is involved in the process, providing assistance in various stages, and the ability to take the opportunities found (Silber, 1983, 89).

Economic Growth The modern world economy shows that the scientific and technological knowledge and innovation are key factors for sustainable economic growth. Much of the competitive advantages that the country holds today derives from the use of scientific knowledge and applied technology become the corporate level to develop new products or services through the management of technological innovation, marketing, and organizational. The world globalization highlights the urgent need for business organizations that produce goods and services for domestic or international market recognize the strategic value of innovation and incorporated into its business management as an instrument or tool that is part of your corporate culture. Companies recognize that key factors such as productivity, competitiveness, and productive marketing and organizational efficiency, depend increasingly implement suitable mechanisms to change from the stage knowledge generation (Science and Technology), or import and assimilation of it to the stage of practical application through the process of innovation (Murray, 2006, 132). Making the transition from Science and Technology, or Research and Development (R & D), business innovation, today is one of the biggest challenges facing developing countries. For UK, this should be a comprehensive effort involving strategic sectors and actors. Therefore, the University, its research and development centers, and government, with its limited funding opportunities and technical assistance alone can not achieve sustainable economic growth in the country. It also requires the production process business, including MSMEs, in order to participate successfully in increasingly competitive markets. Based on this statement and the Report of the Commission on Science and Technology of the United Nations Millennium Project (Report of the Task Force on Science, Technology and Innovation, United Nations Millennium Project, 2004), we discuss below how science, technology and innovation can contribute to sustainable development of our country.

Role of Innovation
Change of Focus Most countries recognize the importance of science and technology as tools for economic growth, but many developing countries focus exclusively on the generation of knowledge in basic research support. A pragmatic approach to UK, to conceive of investment in science and technology through research and development (R & D), not as an end in itself but for its contribution to the production of goods and services in greater numbers and quality, to reduce poverty through increased employment, and raise the standard of living of the population. The Frascati Manual, which contains the methodology for measuring scientific and technological activities with statistical information on R & D, says: "The activities of technological innovation are the set of phases scientific, technological, organizational, financial and trade, including investments in new knowledge, which are or intend to carry products and implementing new or improved processes. The R & D is only one of these activities and can be carried out in different phases of the innovation process, being used not only as the source of creative ideas but also to solve the problems that can arise at any stage until completion " (McDermott, 2001, 85). Organizations need a change of approach, which involves focusing attention on existing technologies that when used on a widespread basis through processes of innovation, can have a significant impact on the UK economy. The government can play a role in this change of focus, helping to build and develop scientific and technical skills of the population.
Basic Infrastructure Services Infrastructure services are shared basic physical facilities necessary for a community or society to function efficiently. The costs of infrastructure services in UK are relevant within the cost structure of firms and have a direct effect on competitiveness and productivity of production and other contingent factors. One problem that hinders the reduction of poverty is precisely the absence or existence of inadequate infrastructure services: Transportation, water, electricity, telecommunications, and sanitation (Holbeche, 2006, 305). Countries must adopt strategies to improve the infrastructure of basic services, so that the appropriate level of the same foster technological development necessary to achieve sustained economic growth: Without a decent infrastructure of basic services is not possible to develop major applications of technology.

Education in Science and Technology The common factor in the success of Asian countries has been the support of their governments to education and building a national identity. Science education at primary level, secondary and tertiary education is vital to create or develop a modern society. The pivotal role played by the higher education in science and technology in the development of a country. Vocational and polytechnic institutes of developing countries are very important and should help more number of young people to reach higher education, addressing the barriers to access to secondary level. Many developing countries have made the mistake of not giving enough importance to the training of technicians and technologists, and artisans, which are home to many small and medium enterprises. Today most of the curriculum and curriculum of universities in developing countries have become obsolete. A new vision of the role of universities is emerging to be highlighted the need for greater involvement of academic authorities, with businesses and the community. The challenge is to transform the universities and technical institutes, and eventually creating new academic centers that focus primarily on promoting business incubators and community development (Henderson, 2006, 447). Also in universities and research centers should be linked deeply to the productive sector and society. It is necessary to reform higher education systems that operate under traditional academic schedules so that the role of these institutions more relevant to the effects of better faces the challenges of economic growth and social development the country needs.

Linking S & T Enterprises Economic growth is a process through which knowledge is transformed into quality goods and services that satisfy human needs. The companies are the means through which scientific and technological knowledge is applied in a practical way through the production process, and is transformed into goods and services increased level or better quality, which contributes to the economic and social transformation. One of the main challenges for developing countries, UK and of course, is to create linkages between local knowledge and generating companies apply it in practical ways, i.e. productive (Elenkov, 2005, 665).

Incorporate Science and Technology in Economic Strategies In an increasingly globalized world requires changes in national policies to incorporate science and technology in the design of economic strategies, in order to achieve: 1. The use of existing technology, using the strategy of "shadow and fast "using ICT (information) than is available in the world, 2. Attracting Foreign Direct Investment in technological capability and seek to promote links with other firms in the chain, 3. " Upgrade "of existing technological capacity in the business sector, 4. Identify market niches and incorporated into the chain 5. To promote international technology partnerships, 6) Using technology foresight methodology in the various sectors (Cardinal, 2002, 563). Among the various fiscal and policy instruments that can be implemented to stimulate technological innovation and boost business ties between the actors. We need to promote intellectual property, promote international cooperation in technology transfer, and promote co-financing for technological innovation and venture capital funds for technological innovation. Other than that encourage the creation and development of small and medium enterprises to promote business development centers and technology incubators, implement technology parks; enhance the technological links with companies in free zones are also very important. It is essential to use the state purchasing to promote technological innovation, promote exports by supporting innovative enterprises, and strengthen quality systems and service providers to strengthen national includes metrology, testing, and quality control and quality certification (Murray, 2006, 132).

Issues in the Role of Innovation For many years, we have tried to understand the relationship between innovation and development in global and in particular its economical dimension. This interest has increased significantly. While this issue has been addressed in the literature at least since the 60's and 70's, is the late 80's and 90's in that discussion has intensified in part by the new avenues that are opening the economy informational. A new technological revolution based largely on information, and spread through the global economy, affects the spatial conformation of economic activities. In this sense, it is very instructive that the World Development Report 1999 examines precisely the role of knowledge in development. The report begins by recognizing that economies do not prosper simply accumulating physical capital and human skills, but "grounded in information, learning and adaptation". The Report also notes the importance of sharing what is learned, but acknowledges that there is much to understand about the complex relationship between knowledge and development (McDermott, 2001, 85). Innovation is not a task for an independent company, but involves several firms interested in exploiting new sources of knowledge and technologies. The focus of innovation systems shows that the competitiveness of companies is dependent on complementary knowledge acquired from other firms and institutions. It is very eloquent this report ends with a hopeful tone in the sense that by better understanding the processes of innovation, leading to greater innovation in the very policies aimed at encouraging innovation. The relationship between innovation and economic development is extremely complex. The processes that occur in innovative activities vary even between countries of comparable economic and technological level. This is due to the characteristics that result from different combinations of endogenous processes such as fixed capital investment, research and development, education, the advantages in the use of technologies, the economies of scale, the allocation of resources, and a variety of institutional factors that vary between countries. This applies not only within countries but even between regions. The industrial map is diversified, resulting in regional differentiation based on the vocation of the places on those parameters. Innovative industries of the new technological revolution do not show a generalized spatial dispersion. On the contrary, are located in regions where they meet the requirements for innovation. These regional patterns of differentiation have profound impacts on the economic performance of regions. Variables such as employment, productivity and investment are different dynamics that lead to different rates of economic growth and inequality in living standards (Holbeche, 2006, 305). That is why an urgent task is to investigate more deeply about the role of innovation in regional development. Erickson (1994) has thought about using technology as an explanatory variable in economic growth models, concluding that often all that is not understood is attributed to this variable. It is extremely difficult to replicate the effect of "Silicon Valley". It is of importance to consider the timing and characteristics of each and unique experience to avoid uncritical transplantation strategies in different contexts. Furthermore, not only aims to study how to develop successful innovation strategies, but decision makers need to know what impacts result from such regional expertise to ensure that the objectives can be achieved through other strategies and at what cost. Three issues deserve particular attention. First, it increases the importance of knowledge and intelligence as the basic factors of the system. They are the key for access to and ownership of information that feeds the dynamics of innovation by enabling technological transformation and modernization of the economy. Second, it involves growing interdependence among various actors and resources. Among them are companies that make up the economic structure of a region, universities, local government, the labor market, community, entrepreneurship, infrastructure and funding sources. These elements interact in a confined environment determining the performance of the region in terms of generating innovation. This, in turn, is the engine of growth and productivity of the regions. This figure also shows the dynamic nature of the innovation process. As argued by Cooke and Morgan (1998), the key question is how agents learn in a world of uncertainty (Henderson, 2006, 447). This is particularly important as the playing experience with innovation policy has become a panacea for a variety of problems. It is clear that the contexts in which they have successfully implemented these policies contain factors that are areas of opportunity for action and that lessons should not be isolated without context. Third, the information economy, enhances the integration between regional and global networks. The paradox of the twentieth century is that, in a global economy, regions and cities become increasingly important, even when they have less power than national governments and are always in constant competition. The regions have enormous advantages to compete globally; from greater flexibility to adapt to changing conditions at the national level can be tackled only with painful effort behind. Later wards some studies explored two more issues. First, that the high technology-based strategies are not viable for all regions, and second, to increase innovation in regional companies is not necessarily required to build a research complex in the style of science parks and technology centers (Murray, 2006, 132).

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