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Assessing the economic impact of CERN technological procurement

July 2017, 

CSIL experts are currently collaborating with the University of Milan and CERN on a study on the possible benefits enjoyed by companies which have worked as suppliers to CERN. This study is part of the Cost/Benefit Assessment study of the HL-LHC project and a potential post-LHC particle collider concept (Future Circular Collider), carried out by University of Milan in collaboration with CERN (over three years period, 2016-2019).

The FCC Week - held in Berlin from May 29 to June 2, 2017 - hosted a special session on this topic opened by Frederic Bordry, CERN Director for Accelerators and Technology, Lucio Rossi (HL-LHC Project Coordinator), Anders Unnervik (Head of Procurement and Industrial Services) and concluded by comments of experts of the Fraunhofer Institute and the Helmholz Association.

Three presentations by experts from CSIL and University of Milan disclosed empirical results on this topic. In particular, CSIL experts presented preliminary results of a recent wide-scale on-line survey launched - between winter and spring 2017 -  to all companies which received at least one order from CERN since the Nineties. 669 CERN suppliers - located in 33 countries, mainly from Switzerland (27%), France (20%), Germany (14%), Italy (8%), UK (7%),  and Spain (5%) - responded to the survey, representing 16% of the base population of suppliers and 25% of the actual target population (i.e. companies with an e-mail contact). Responses have been processed by CSIL experts by means of Bayesian Network Analysis, which allows to identify the causal mechanisms through which CERN procurement generates learning and economic benefits on suppliers, and, specifically, the role that different interaction modes between CERN and supplier firms play in producing knowledge spillovers.

More information are available HERE.