Empowering the Classical Industry

In 2011 we began implementing our recommendations for upgrading the classical (traditional) industry according to the report of our committee for the empowerment of the classical industry, from April 2011. The program of this works follows closely the recommendations of the committee.

Under this framework, we concentrate on number of actions initiated by us and we join forces with many outside participants with the ability to execute and influence the decision makers.

For this assignment we recruited Dr. Giora Shalgi who headed the team of classical industries in the "Innovation 2011". The following projects are part of the actions that are used to strengthen and empower the classical industries in Israel:

1. Establishment of industrial parks cluster in the Galilee, which supports the small and medium classical local industries.
The perception of the clusters serves as a central axis for the integration of many other businesses and collaborators with the purpose and the potential of contribution to the classical industries.

2. The program for excellence and innovation in the Galilee, mainly aimed for small classic industries, was adopted and now is supported by the Ministry of Development of the Negev and the Galilee.

3. The government new Agency's program for supporting and consulting for small and medium enterprises was launched with our encouragement and our assistance, in consistent with the perception of   the Innovation 2011 recommendations for classical industry committee's report recommendations.

4. Israel's National Standards Institute has completed an initiative for agreement with the management team of the European EFQM and initiated a training course that authorized the participants to train professionals in the field of organizational excellence in the industry.

5. Establishing a group of "Role Model Organizations" was initiated and so far 25 organizations joined to form the minimum "critical mass" that would constitute an industrial excellence influence. This forum will be later encouraged to initiate other supporting actions for industrial excellence beyond the current empowerment of the classical small industries.

6. There is good cooperation with the leading Technion Innovation Centre Executive Forum. A joint program was created and implemented named "MOVING UP", implemented in collaboration with our Samuel Neaman Institute team. We initiated this program as a concept of training traditional industries in the form of what was done by TIM (Technion Institute for Management). Professor Shlomo Maital gave professional lectures and Giora Shalgi and Dr. Gilead Fortuna participated in training and mentoring of industry's innovation projects as part of the program. We plan to expand these courses in 2012 and within the next few years to many more small industries.

7. There is agreement and approval of the Ministry of Education, to establish an advanced technology education center in Haifa with the Technion academic support.

8. Initiatives of Prof. Mia Erez and Prof. Uri Marchaim to create clusters of cooperation between the Israel north industrial plants is now also supported by partnerships with European agencies.

9.  A good cooperation was achieved with the Manufacturers Association, including the mobilization of Mr. Oded Tira who is ready personally to help to advance our goals in empowering the classical industries.

10. OECD project "Cleantech Industry in the Negev" aimed to leverage the Negev industrial growth:
At the request of the Ministry of Commerce & Industry Department to the Galilee and Negev Dr. Gilead Fortuna helped to prepare materials of background for a study of OECD to promote Cleantech industry in the Negev as part of expanding the manufacturing industry in the Negev. The report on policy Cleantech prepared in the "Innovation 2011" program was used as a background to initiate the study and we participated in preparing the material, meetings with the OECD. 

The project is being coordinated with few government agencies, including the Small Business Agency at the Ministry of Trade and Industry, Ministry of Development of Negev and Galilee.

As a result of various cooperative efforts during 2012, the following changes occurred:

A. A positive momentum was created in the "Northern Cluster," which produced a critical mass of enterprises with effective access to growth-supporting state aid centers.

B. The Industrial Excellence Program was augmented by adopting the EFQM Standards led by the Standards Institute and the Israel Society for Quality, including certification and training infrastructure.

C. The excellence program in the Galilee was established, as part of the goals of the Galilee Development Authority.

D. Promotion of vocational-technological education, including re-starting the construction of the historical Bosmat School was accomplished.

E. The MOVING UP program was consolidated in collaboration with the Center for Innovation at the Technion.

F. The counseling program of the Agency for Small and Medium Businesses was launched, in a framework that is consistent with the recommendations made by our committee.

The activity in 2013 continued to follow the recommendations of the committee to empower the classical industry, with expansion to other areas, mainly in the fields of education.

  • Scientific, technological, and vocational educational: focused on encouraging middle school students to choose courses leading to a high-quality technological scientific matriculation certificate, while re-establishing the Bosmat School and assisting the Ministry of Education in leading this development.
  • Industrial quality and excellence: setting a standard for industrial excellence.
  • Extension of the Galilee (north) quality program to the Negev (south).
  • Leveraging the growth of small and medium plants through role model organizations.
  • Leveraging the emergence of small and medium businesses through the Buy Back.
  • Dealing with issues affecting classical industry.
  • Image: changing the discourse culture, removing the term LOW TECH, as well as changing the attitude in the EXIT culture.
  • Cooperation with the Electronic Industries Association.
  • Leading a consulting plan for small and medium businesses.

The activity in 2014 continued under the recommendations of the committee to empower classical industry, with expansion to other areas, mainly in the fields of education.

  • The activity in 2014 included the following areas:
  • Scientific, technological, and vocational education: Giora Shalgi acted as a full partner in the National Committee for Technological-Vocational Education.
  • Activity to re-establish the New Bosmat School has now begun and serves as a hallmark of high quality technological education.
  • The Industrial Excellence Program: the Manufacturers Association in the North has adopted the Program as part of a strategic perception that contributes to high quality and sustainable growth.
  • Industrial Cooperation Authority (ICA) continued efforts to leverage the existing potential of ICA as a growth lever for small and medium businesses.
  • Exit nation: Continued informative effort to influence the existing reality which encourages exits instead of full local companies, which create an ecosystem that includes also classical industry.
  • Participation in the North Project aimed at stimulating economic and social growth in the Northern part of Israel.
  • Participating in a strategic team that discusses the continuum of science, technology, education, and industry.
  • Lecture given at the STAR (Science, Technology and Art Relation) Conference.

2016 was characterized by the promotion of the outline proposed by the Committee to Empower Classical Industry, expanding it into other areas, such as education, promoting technological-vocational education*. The effort to rebuild the legendary school of Bosmat as a standard bearer of high-quality technological-vocational education is beginning to materialize. The school entered its second year of operation, supported by a high-quality executive committee, and with the determined support of Haifa Municipality and the Ministry of Education.  The school is expected to move, for an interim period, until the construction of a dedicated building is completed, to the new technology center in Neve David, that will include modern laboratories. The establishment of an applied R&D center. As a result of the recommendations of the Grand Strategy Committee, assistance was given to the ORT Braude College to add to its definition of mission innovation-oriented applied R&D and productivity emphasizing traditional industries. The realization will be carried out by the application company "Ofek Eshkolot" in cooperation with the Israeli branch of the German FRAUNHOFER Institute.

Organizational excellence. Continued promotion of excellence in the industry in the north, as part of the Manufacturers' Association. Presenting the topic to the Haifa Municipality board as a step that supports the city's desire to turn the city into a metropolis of excellence. Haifa University strategy. Contributions to the process leading the university, under the leadership of its new president, to formulate a challenging and inspiring strategy, which is expected to strengthen the north of the country and the city of Haifa.

BUY BACK (retry) failed. The attempt to introduce a change in the policy rules of the ICA, which is responsible for reciprocal procurement agreements at the Ministry of Economy, failed.

Combining nanotechnology. A continued effort, as part of the INNI Committee (which ceased operating in 2016 after two five-year plans) to accompany the implementation of nanotechnology in traditional industries, the core business of which is in the field of materials, such as Ginegar (plastic sheeting for greenhouses), Caesar stone (synthetic marble), Nilit (fibers).

* This subject was led by Giora Shalgi.


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