Towards the plan Essential information and initial strategic guidelines Table of Contents A Common Undertaking 1 The new role of cities 2 Torino in Europe 3 The regional context 4 The heritage 5 The people of Torino today and tomorrow 6 The engine of production 6.1 Industry 6.2 Telecommunications 6.1 Technological research 7 New resources for development 7.1 Culture as resource 7.2 The potential for tourism 7.3 Urban quality 7.4 The major infrastructures 7.5 The financial system 8 Urban spaces 9 The open society 10 The metropolitan government system 11 Towards the Plan A COMMON UNDERTAKING Torino is developing a tool to prepare for its future. This involves the perfection of a strategic plan for the development of the city called "Torino Internazionale." It is the first experiment of its kind in Italy, while, in the rest of Europe, many cities have already used this method successfully. Although the initiative was launched by the Municipal Administration, the generic expression used at the beginning - Torino is preparing a new tool to prepare for its future - is meant to suggest that it's not simply an action taken by the City of Torino but that this is a shared, collective project. "Torino Internazionale" calls upon the participation of all of the economic, social, and cultural forces to define some shared fundamental directions for the growth of local society. For these reasons, the initiative was presented at the "Forum for Development" on May 22, 1998 where it met with widespread approval and won many adhesions. Immediately afterwards, the Coordination Committee and the International Advisory Board took on an active role. The International Advisory Board was given the preliminary task of synthesizing the available data and of elaborating, based upon this data, the first proposals regarding the construction of the plan. This has become a starting point from which the extended working groups can take off from to discuss and develop new suggestions. At this point, in November 1998, the preparation of the plan was submitted. This concise publication evaluated the situation up to that moment. It is a brief sketch of Torino, based upon a few essential features, from which some possible directions regarding the goals of the Plan emerged, as well as some strategic pathways to follow. This publication, together with the volume that reports more extensive data from the first stage of documentation, is made available to all those who participate in the study groups, and more generally, to all those who wish to contribute to the common undertaking, "Torino Internazionale." By January 1999, the groups finished their work and the Advisory Board presented a summary of the results up to then and also expressed ideas regarding possible future directions. The work groups then did another evaluation of Torino. The final text was perfected by the Advisory Board and presented to the "Forum for Development" in May 1999. In this way, it was able to be evaluated by varying institutions, both public and private, and became the basis for a "contract for development" which was signed by all those committed to using a collaborative approach both to problem solving as well as to the taking advantage of new opportunities. The Plan doesn't start from scratch, for it builds on existing projects - such as the programs of the Municipal Council and the projects of individual enterprises and associations- to give them vision and energy. In some cases, new goals have arisen and the urgency of other ones has been recognized. It is within the work groups that these issues are evaluated and that action is coordinated between public and private entities. The period of time envisioned for the activities to take place is 1999 to 2010. This appears to be a realistic timetable for concrete projects. This does not mean that projects of a longer duration are ignored nor that one need wait for 2010 to activate the projects. On the other hand, it is necessary to identify those projects that cannot be delayed in order to be effective. Some of these will require very short time spans. The plan will need to identify some of the principle interventions, the necessary steps to realize them, the subjects that need to be involved, the way to raise the necessary funds and the intermediate stages of the project. A realistic timetable must be established in order to coordinate the multiple components. A second issue regards the spatial dimension of the plan. When we say Torino, we mean the societies and economies settled in the north-west area of Italy, each with their own history and perspective, that are not contained within the limits of the City of Torino and that are thus organized by multiple administrations. Torino is in this sense a metropolitan society, not composed of solely nine hundred thousand inhabitants but of at least one million and seven hundred thousand people. For this reason, at the "Forum for Development," representatives from the municipalities of the metropolitan area were invited. The plan will be fully successful only if it is built with the broad participation of the metropolitan subjects, in a search for common strategies that are mutually beneficial. No strategic plan in Europe has ever been developed based only upon one central municipality. On the other hand, Torino is a regional capital. It is not attempting to develop a plan for the entire region of Piedmont but it must aware of and communicate with the private and public sectors in the region. The time of suspicion towards a central power is over. Local powers today consent to dialogue and to planning if it is made on equal footing. Torino - in the larger sense of the term that we have been using throughout - wishes to determine what the city and the rest of the region can do together in a spirit of cooperation. 1 THE NEW ROLE OF CITIES Cities have always been the favored places for the gathering, elaboration and transmission of knowledge. Therefore, they have always guided the dialectic of preservation and innovation, of stability and change. Today, those processes have attained an extraordinary importance and acceleration, to the point of characterizing our society of the end of the century as the society (and economy) of information. Since the 1980's, in the industrialized countries, the "immaterial" economic activities (solely concerning the processing of information) have become prevalent compared to the others. This is true even in sectors such as the manufacturing industries, traditionally thought of as sites of material labor. At the higher levels (financial and managerial services, research and development, etc.) these activities are closely linked to activities concerning control and management. Together, they form a complex of third and fourth sectors, that are today the real engines of urban development. In successful cities, these new sectors tend to replace the manufacturing industry and become the primary source of employment and income. The new and different professional classes that correspond to these sectors become socially central. The problems of the city manifest themselves during this transition. First of all, because not every city participates equally in this process. The assertion of the information economy goes hand in hand with the globalization of the production process and with the growth of the transnational mobility of capital, services, information, and innovation. Until the midpoint of this century, many circuits of production and exchange were limited to a regional or national scale and they were based upon specific networks of cities. Today these same circuits operate on a continental and planetary scale and a large part of the services and direction necessary for their functioning tends to be concentrated in a few, large cities. Thus, the protective barriers (geographic, historical, cultural, institutional), which once guaranteed each city a position in their respective regional and national context, fall. Two principle consequences ensue. On one hand, each city finds itself operating as a node in a global city network (at least in the European case) and thus tends to develop complementary relations of cooperation with other cities. On the other hand, the cities enter into competition with each other to occupy the highest levels in the hierarchies that are established within the networks. In this race, positions won in the past are no guarantee for the future, in fact, sometimes that which made a city's fortune in the past can become an inheritance difficult to manage. In particular, cities with an important history of heavy industrialization (iron metallurgy, petrochemical, shipyards, etc.) or of fordist production (production of mass consumer goods) have problems of unemployment and of urban and environmental renewal that seriously penalize them. Also at a disadvantage are cities that are located on the outskirts of what constitutes the heart of Europe, that space contained between London, Paris and Frankfurt. Speaking of cities in competition amongst themselves, we tend to think of them as unitary collective subjects, able to regulate at will their own behavior as people or companies normally do. However, this is more a goal to be reached rather than a given. That which we today call a city is not in itself a well-defined territorial whole, nor a unitary social organization, but a complex web of relations. It is a place in which social, economic, cultural and political relations converge, concentrate and interconnect through the actions of subjects that are individual and collective, private and public. The physical shape, the identity and the success of a city vary depending on these interconnections. When the internal cohesion of a city is strong, the identity and the borders of the city are clear. Instead, if the web of local relations is not tight, it is difficult to discern whether the city has a behavior of its own or if its components end up identifying more with the global networks in which they participate rather than with the local society. Nonetheless, even in these cases, the city conserves a unitary image in time, which is precisely what induces us to personify it. This is because, in the making of its history, the city has accumulated on its territory not only buildings and material infrastructures, but also a heritage that is made up of artistic-environmental components, memories, cultural traditions, technical competencies and institutions that assure a temporal continuity. The presence of relics from the past, however, do not guarantee the vitality of the city. For a city to be alive, the local subjects need to organize themselves to capture and connect the fluxes of goods, people, capital and information, in such a way that the local "heritage" can be transformed into a cultural and economic value capable of circulating in the global circuits of exchange. The positions that the cities will occupy in the new hierarchies will depend on their ability to affirm their qualities in terms of specific "competitive advantages." This means that the development of a city cannot be purely endogenous, but that it also cannot derive solely from the attraction of external capital, entrepreneurs and know-how. The ideal is the existence of a local system of activities capable of connecting with larger networks and of attracting investments for those specific competitive advantages that it are unique to it. Indeed, in the information economy, information is able to circulate freely and thus, in its a-contextual and codified form, it is ubiquitous. Who uses it is territorially mobile (delocalizable), because if follows the variation of costs of other factors in time and geographic space. What is indeed able to fasten a company (or more often a system of companies) to a given urban territory today is the specific know-how that is created and "consumed" locally. It is in this local context that the know-how circulates under the form of contestable knowledge, accessible only to those who operate in that given territorial context. Thus, the inutility of "recipes" that generically refer to certain sectors that have had success elsewhere (for example semiconductors, biotechnology, etc.) is apparent. Success stories show us that these sectors have affirmed themselves in certain contexts, where there are specific know-how and competencies that are not easily available elsewhere. The "general recipe", hence, should not refer to sectors but to specialized local systems that can be put into place with preexisting materials. All of this entails an organizational capacity that, together with the aggregation of fixed capital, art and culture, technical knowledge and competency, is considered a fundamental factor for success. Such a capacity is not only required of the public administration; it must permeate the daily actions and practices of the entire urban collective. It is a matter of stimulating, connecting and regulating in a dialogic way the behavior of various subjects, utilizing cooperative knowledge, skills, projects and attitudes. It means making these subjects the enactors of collective shared projects that create networks of cooperation (strategic networks), thanks to which each of them has better prospects than they would have had acting individually. The governing of cities, as a strategic action, obligates the public administrations to not reason anymore in terms of their specific territorial and sectorial responsibilities, but rather in terms of an urban system which has a geographic scale that corresponds to the territorial dimensions of the strategic networks. Generally, these webs are of a variable geometry, depending on the subjects. For example, faced with an industrial system branched out to a provincial and regional scale, the local web must extend itself to those dimensions. In many cases the strategic subjects have goals and interests that correspond to a metropolitan area (central municipality, suburbs, etc.) and these are usually the territorial limits of strategic local actions. However, in order to obtain good results locally, it is also necessary to have strong ties between the economic, financial, and political subjects that operate on national, European, and global levels. This demands an active policy on the part of the urban subject regarding these higher levels, open to continual dialogue with different levels of government, national and, especially, European, in order to be able to stipulate various types of "contracts" with them. Public policies today are therefore always less a result of the sole action of an administrative organ and always more decisions made with the input of various public and private subjects who collaborate to obtain their concrete formulation. This corresponds to the new tasks that administrations find themselves having to perform in order to promote local development. In addition to this "hierarchic cooperation," there exists a "horizontal" kind of cooperation between cities that is made explicit in the creation of webs of stable and lasting interactions with each other. These connections, which give rise to "city networks, " can be independent from the rules and wishes of the collective urban subject or they can derive from a program. In the first case, one is referring to passive networking. This speaks to the way in which the nodes of the organizations that have widespread networks (for example, business networks, university networks, logistic networks, etc.) are necessarily connected to nodes present in other cities and are thus interconnected. Active networking refers to when interconnections are recognized, governed and promoted as resources by the collective urban subject through policies regarding the urban network. They aim to obtain those advantages which are specific to networks: specialization/complementarity, operative synergies between specializations of the same kind, the circulation of know-how, the diffusion of organizational innovations and a greater contractual force with the higher levels of government. To some extent, these networks utilize the preexisting passive networking (for example, policies regarding the strengthening of the local economic system, or policies that support the formation of tourist circuits with other cities). They are partly built by the local administration and by those partner entities that deal with advancement and development which take part in cooperative networks with the administration and analogous entities of other cities. This occurs on different scales. On a metropolitan scale, inter-municipal exchanges are the necessary basis for any strategic action. On a regional and macro-regional scale (even across borders), these inter-municipal exchanges are equally necessary to the regional integration of metropolitan development. It is also important for the economies of scale that can be obtained with the specialization of services shared by the whole regional network, such as airports, major hospitals, universities, etc. On a European scale, there exist some urban networks of a general character (for example, Eurocities) and many others which are highly specialized (for example, Quartiers en crise). The participation in these networks can offer various advantages, such as the exchange of information and common experiments (for example, Urban), connections with the EU, easier access to community financing of local projects, mutually beneficial interventions, etc. The strategic plan is the tool to promote and bring about a body of strategic actions, as has been discussed so far. Above all, it is a means of motivating a web of subjects around common projects through the comparison and meeting - also conflictual - of the values and interests of a plurality of subjects. Its efficacy is proven by the success stories of the cities that have employed it so far. 2 TORINO IN EUROPE A barycentric position Torino is certainly a European city. But where and how does Torino fit in Europe? If the old maps recognized the existence of a Eurocore respect to which Torino found itself in a semi-peripheral position, the newest research places the city and its metropolitan area in a privileged place respect to the large dorsals that structure the space upon which rests the construction of a unitary Europe: the "Blue Banana," "the Latin Arc," "the Adriatic Dorsal," the axes of expansion towards East (map 1). The so called "Blue Banana," an ironic image that has now entered common usage, is a central dorsal, by now well consolidated, that draws an arc which comprises of the larger European cities and which singles out the most densely inhabited zones of the continent. Starting from London, it reaches the northern part of the Italian peninsula, crossing through the Netherlands (the conurbanization of Ramstadt), Belgium (Anvers, Brussels), Germany (Frankfurt, Cologne, Stuttgart, Monaco), Switzerland (Bern, Zurich) and, finally, Milan and Torino. The cities of this conurbation constitute the old European core and it is indicated as the principle axis also in many studies that concern themselves with the analysis of the functional importance of cities. Next to the image of the "Blue Banana, " a second emerging dorsal has been recognized that is often referred to as "the North of the South." The "Latin Arc" starts from the Iberian peninsula and Madrid, goes through Valencia, Barcelona, the Midi of France (Montpellier, Toulouse, Marseilles), reaches the Po Valley, and then extends towards central and southern Italy (Naples). This new axis, in formation and probably capable of becoming a new emerging area, is invested with new and significant phenomena of economic, technological and cultural development. The events tied to the demise of political barriers towards Eastern Europe present a new direction of expansion for Europe towards the East, structured around certain parallel axes. One of these comes from the European south-west and, passing through Torino, crosses the Po Valley, pushes towards Zagabria and then reaches Belgrade and Bucharest. If these are the major directions of European development, Torino finds itself in a favorable position since it is at the crossroads of all of the great dorsals. It is thus connected to the heavily infrastructured megalopolis of central Europe, to the vivacious and emergent Mediterranean axis, as well as to the new markets of the East. This favorable geographic position potentially constitutes a terrific advantage for Torino, which could be a point of high accessibility for the rest of Europe. However, this advantage is not fully exploited today. In order to be effectively utilized, it requires a coordinated ensemble of infrastructural policies without which there will be the opposite effect of progressive isolation. A tangle of networks Placing a city in a defined spatial context is not enough to understand the role that it plays on the international scene. In addition to this aspect, it is fundamental to recognize what the relations the city is involved in are within an international context. From the beginning of the 1990's, Torino has actively and concretely participated in certain networks with other cities belonging to the European Union. These networks represent an opportunity for exchange, comparison and cooperative action. The cooperative networks within which Torino participates focus on themes very different from each other. The Car network unites a series of cities (such as Valladolid and Stuttgart) which have founded their development on the manufacturing of automobiles and who have, during these years, been affected by the reorganization of the industry. The Ouverture network concerns itself with the construction of relations with oriental Europe. The Polis network (with Birmingham, Stuttgart, Athens) has been working on computerizing traffic regulation and creating urban parking. The Quartiers en crise network , which twenty cities other than Torino participate in, has the objective of creating a shared experience of urban renewal of the run-down zones of the city. Some of these networks existed prior to their formalization on the part of the European Union. The above-mentioned networks are those that are managed by their respective local administrations. However, Torino also participates in other networks. An example is the university networks. The collaboration between university entities occurs on different levels. One is the guarantee of mobility to European Community students and researchers (the Erasmus and Socrates projects). Another level is that of research collaborations between departments and institutes on projects that guarantee the exchange of scholarship. In these last kinds of networks, Torino plays an important role in that the institutions for higher learning (the Polytechnic and the University) are quite active, especially the sectors of advanced scientific research which are strongly marked by the presence of exchanges and relations between universities. In the sector of research and development, the networks promoted by the European Union in which Torino participates are the networks which involve both public and private research centers as well as universities (the projects Brite/Euram for industrial technologies and the project Esprit for electronics). Although Torino's position with respect to the principle fluxes of exchange in advanced research for firms was marginal for many years, currently the situation is decidedly improving, thanks in part to the presence of appropriate structures and services such as the "Eurowindow" of the Chamber of Commerce. An important role is also played by the macro-regional cooperative networks, such as the projects Interreg, that gather entities of different nationalities around specific themes in areas beyond national boundaries. An intermediate city The idea that cities are in competition with each other has given rise to numerous comparative studies between cities. These analyses define classifications that allow for the recognition of types of cities and hierarchies. According to the majority of the studies, in Europe there can be found only two cities defined as "global cities": London and Paris. Some others are of high rank, defined as "large political and commercial capitals": Madrid, Barcelona, Frankfurt, Copenhagen and, in Italy, Rome and Milan. Torino is often found in a third rank of cities that are indicated as regional capitals characterized by a strong specialization in some sector (see, for example, map 3). Other than Torino, this is the case for cities such as Bilbao, Lyon, Toulouse, Marseilles, Dresden, Glasgow, and Manchester. Almost all of them are living or have recently moved beyond a difficult situation, consequence of the necessity of reconverting spaces and functions that were before dedicated to sectors that are now going through a phase of decline or of major restructuring. If one analyzes the better well-known classifications more carefully, one can find that, for example, the Datar (a French governmental agency devoted to territorial development) classifies Torino in 1989 at the nineteenth place in Europe, in a fourth class (out of eight), on par with a few national capitals (Athens) and active specialized cities (Manchester, Lyon, Rotterdam, Hamburg, and Geneva). Torino is also defined as a city characterized by strong international relations and by a significant presence of advanced research and technology. Under this definition are found cities such as Zurich, Lyon, Stuttgart, and Cologne. A 1990 study for the Agnelli Foundation identifies Torino as a city with an industrial base that is in transition, where elevated industrial and technological potential are associated with a limited presence of directional functions, both economic and administrative. The university of Dortmund, in a study for the European Community (1990) recognizes two global metropoli (Paris and London), a few Euro-metropoli, that is cities that fulfill an essential role for Europe, politically, culturally, economically, and financially (Lyon, Milan, Rome, Athens, Vienna, Brussels, Madrid, Barcelona, Berlin, Monaco, and Zurich) and some cities of European importance that complete the mesh of important cities such as Torino (Glasgow, Marseilles, Stuttgart, Salonika, Geneva, Grenoble, Naples, and Palermo). In contrast with the Datar, here there is no recognition of significant characteristics of excellence for Torino. Much harsher with Torino are the analyses made by consultant agencies hired by international firms to choose a location. For example, the agency Healey & Baker (as can be seen in table 2.1), in 1997, places Torino at the twenty-seventh place among European cities, a position that has not seemed to change over the last few years (while cities such as Madrid and Manchester have gained ground). According to this classification, investing in Torino appears barely more favorable than investing in Oslo, Moscow or Athens. If one considers this classification according to the different criteria that led to its creation, one can note that Torino reaches a more favorable position due to the costs and availability of qualified personnel, a quality confirmed by the opinion of the foreign investors settled in the Torino area. Table 2. 3. 1: Ranking of European cities according to Healey &Baker. City Position Score 1995 1996 1997 LONDON 1 1 1 1.16 PARIS 2 2 2 0.64 FRANKFURT 3 3 3 0.55 BRUSSELS 4 4 4 0.35 AMSTERDAM 5 5 5 0.32 MADRID 9 9 6 0.18 BARCELONA 6 6 7 0.17 MILAN 8 8 9 0.17 MANCHESTER 13 11 10 0.17 STOCKHOLM 16 18 19 0.08 PRAGUE 21 21 21 0.08 LYON 22 22 22 0.07 ROME 23 25 24 0.06 COPENHAGEN 25 24 25 0.05 WARSAW 26 26 26 0.05 TORINO 27 28 27 0.05 OSLO 28 27 28 0.03 MOSCOW 30 29 29 0.02 ATHENS 29 30 30 0.02 * Ratio of the population which is 65 years old or older and that which is less than 14 years old. ** Ratio made up of a numerator which is the sum of the population 65 years old or older and that which is less than 14 years old and of a denominator made up of the population aged 14-64 years. Source: 1991 Census data. 3 TORINO IN A REGIONAL AND MACRO-REGIONAL CONTEXT Map 5 highlights the location of Torino and its metropolitan area in a macro-regional territorial context. The opening of national boundaries, one of the most significant events in the formation of the European Union, contributes to the redefinition of geographic areas and contexts. This recuperates an area that for Torino and the Piedmont is tied to its historical legacy, an identity formed in the past. It is a transnational zone, that over time has had varying delimitations as well as denominations: Occidental Alps, Alpine Diamond. It is enclosed between several important European centers: Lyon, Marseilles, Geneva, Milan and Genoa. This is a strong area in the European context also because from a geographic point of view it is in a privileged position. It is traversed by the principle dorsals and by important corridors of transit, as well as being near two of the principal Mediterranean ports. From a physical point of view, the territory of the macro-region is characterized by the presence of mountains, the highest in Europe, which constitute an important biological and landscape resource. It is undoubtedly an extremely significant environmental and tourist resource that must be conserved and made the most of with care. In the interior of the macro-region, four axes can be distinguished (see map 5), three of which have a north-south orientation that follows the direction of the Alps. In the west, there is an axis that follows the Rodano, which from Lyon arrives at Marseilles. In the East, these are the axes of the foothills (Vervania, Biella, Ivrea, Torino, Cuneo), and in the center there is the so-called Sillon Alpin axis (Geneva, Annecy, Chambery, Grenoble). The fourth axis, contained within the "Latin Arc," follows the coast in the south. The first three corridors are linked by the presence of an infrastructural network that is based upon the existence of a few tunnels. These allow for a substitution of the image of the mountainous barrier, or cul-de-sac, with the image of the corridor, thus giving the micro-region a unity that would not be possible to conceive of without the possibility of traversal. It is therefore important to evaluate whether or not the current communication pathways are adequate to the projects for unitary growth. The region beyond the border is characterized by a thick net of collaborations between institutional entities and private subjects. Such collaborations must nevertheless be promoted and improved if the region wishes to situate itself as one of the motors of European development, in competition/cooperation with other powerful regions (Catalonia, Baden-Wurttemberg, and Lombardy). In the interior of Piedmont, Torino fulfills the functions of a regional capital. The data on commuting for reasons of work or access to services easily shows this. The polarizing effect of Torino, principle organizer of the regional structure during past decades, no longer conditions to such an extent the rest of the region, which proves itself to be well divided; it is increasingly evident that there exist many Piedmonts. The metropolitan area of Torino constitutes a fastener among them in a space characterized by the presence of other sub-poles, whose capacity for attracting and organizing the territory around them is growing. While the area that is directly affected by the metropolis has expanded (with the consequence that today a first, a second, and, even, a third belt can be easily distinguished), farther away from the center regional sub-poles can be recognized (map 6). The regional commuter patterns highlight the way that in the last few years the most important regional centers have gained strength (Pinerolo, Biella, Domodossola, Alba, Saluzzo), while others maintain a relevant position (Ivrea, Cuneo, Novara, Alessandria). In particular, Novara is an alternative pole to Torino, able to create around itself a wheel in some ways comparable, for certain aspects and functions, to that of Torino. The urban lattice is sustained by an infrastructural web that, although dense, continues to privilege the city of Torino as regional pole. Certain foreseen interventions, such as the highway that will connect Cuneo and Asti, will modify this state of affairs in favor of a more balanced situation. For the reasons stated above, an interpretative model of the region based upon the processes of industrialization and polarization is by now inadequate. If certain factors are recognized, such as the persistent legacy of a polarized structure, the processes of urban diffusion, and the presence of local systems that develop themselves in relation to specific local factors, then these exclude the possibility of defining homogenizing goals and policies for the development of the region. Hence, the policies for Torino and its area should not represent a leveling of differences; rather, they should have the objective of integrating differences and making them complementary, of valorizing the specificities of each locale, and of generally enriching the potential of a complex and diverse territory. 4 THE HERITAGE Torino is an old city with a long history. More than once it has had to reinvent itself, rediscover a role for itself in changed general conditions and it was, at least twice, a capital that led Italian modernization. In recent times, Torino was the industrial city par excellence, the great productive engine of national growth. The industrial society, with its typical social figures, institutions, and culture took shape in certain areas, particularly in the north of the country, but nowhere other than Torino did it take on such unique and particular characteristics. At the turn of the century, the city found a role for itself that substituted the one of national capital that it had just lost. This past role was the final product of a century of consolidation and expansion of a dynasty, but it would be better to say that it was the product of a regional society that was capable of successfully experimenting with the opportunities that arose with European modernization. In both cases, Torino was able to internally and externally activate economic and political processes of ample scale, it expressed clear ideas on the goals to be reached, it endowed itself with a culture and an organization at the height of the role to which it aspired, and it had a visible and recognized international presence. Today we remember this history and these two roots, not in order to boast of old achievements but for a much more concrete reason. A city can reinvent itself but, to do so, it always uses the material and cultural resources that it has inherited from its past: in our case, it is a rich heritage. We need to be familiar with it and select that which can be invested today in new undertakings. In the last decades, the whole world has witnessed the transformation of an old model of industrial organization. Cities of mass production all found themselves exposed to difficult problems of transformation. In fact, they were the most vulnerable and hard hit cities, with the loss of employment and the need to find immense resources for large technological investments and pressing research for new types of production and markets. The cities of the new industry will never again be like the old industrial cities. In the case of Torino, the transition has not been completely finished: in order to measure the road left to take, one need only remember that the unemployment rate in the city is around twelve percent. It is here, however, that lies the headquarters of one of the few Italian industrial groups of global dimensions and importance; entrepreneurial initiative is present in multiple sectors and in advanced production; a widespread culture of mechanical and electronic know-how guarantees a professional and versatile labor market; there exist high technology research centers that can still be improved and that can form more direct ties with economic activities; and, finally, the activity of services for firms is increasing. We will document this later on. Torino, thus, has all of the keys to be an important neo-industrial city, but the industry will in the future be of a less exclusive character towards its local economy and society. It will not be able to identify itself as the city of a single, giant firm. This was almost true some decades ago. During the middle of the 1970's - perhaps it is not a bad thing to remember this in order to measure together the extraordinary mobilization of energies activated by the Turinese industrial motor and the distance which separates us from a now old Torino - the personnel in the metropolitan area tied to the production of automobiles, iron metallurgy, of buses, engines, airplane engines, power tools and still others directly a part of the Fiat group, consisted of more than 135, 000 people. At the time, that number roughly corresponded to the population of cities such as Perugia and Ravenna. Considering the typical families of the industrial societies, with a husband working outside the home, a wife working inside the home, and children, one could calculate that the Turinese social universe directly dependent upon its primary, large firm roughly corresponded to four medium cities such as Perugia or Ravenna inserted within Torino. The image of the city-factory no longer corresponds to the state of things, but we can nonetheless recognize the continuity of a strong reality and the capacity of the technical and productive city. Under the new circumstances, however, the other inheritance acquires visibility and relevance unknown to it before and we realize that it is not only the root of deep and vital elements of identity but that it is also the matrix of new and important economic initiatives. The roads, the plazas, the monuments are the more immediately visible traces of the old political capital. Yet, if we enlarge the frame of vision, we find that this root is connected to the humanistic, legal and scientific traditions of the universities, the art galleries and musical institutions, the complex world of professionals and businesses, the libraries, the publishing houses and the thousands of strands that tie these public and private worlds to corresponding points of excellence in the world. We can emblematically point this out by saying that three Nobel prize winners for medicine and biology did their basic university studies in Torino and that a winner of the Einstein prize for physics teaches at our Polytechnic. The fact that today the primary Italian bank has seat in Torino is also traceable to this older root of the city as capital. It is a whole which, in its great variety, we often fail to see as a unitary entirety that contributes to the general tone of the city and that fosters a civic culture. An entirety that is also the source of economic initiative and that can still be so in the future. The important medical and hospital traditions, for example, could lure new investments and initiatives to remake Torino a city where not only its residents are well-taken care of but also a city to which people come to from afar due to the quality of its health care. This is partly already occurring. As far as tourism is concerned, this will probably be the great surprise of the coming years. The city combined with the region and the mountains constitute a mine that is waiting to be fully exploited. According to external observers, the potential is extraordinary. Italo Calvino, in his “Six Memos for the Next Millennium” notes that in the classic collective consciousness, Mercury and Vulcan represent two fundamental vital functions, inseparable and complementary: "Mercury represents harmony, or the participation in the world around ourselves; Vulcan represents focus, or constructive concentration." Mercury establishes relations between the gods and between the gods and humans, between universal laws and individual cases, between the forces of nature and the norms of culture. Vulcan, closed in his workshop, tirelessly produces weapons, shields, and machines. His skilled craftsmanship and his concentration are indispensable, no less than are the mobility and swiftness of Mercury. These latter are however the necessary conditions in order for the unending efforts of Vulcan to have significance. For a long time Torino was Vulcan's city; today, we remember that, in the past, Mercury had lived here and we see that he kept here many of his things and that he is ready to return. Outside of the metaphor, it important to reiterate that Torino has all of the qualities to be a city where two important traditions, a technical-productive one and a professional and humanistic one, can interact and produce a place with a high quality of life and a capacity for innovation. Many Italian cities have resources that render them competitive for a certain aspect. Few, like Torino, have an ensemble of basic elements that, if cultivated, can be used to create a complete city, an Italian metropolis on a European scale. After many years, the self-portrait of Leonardo is once again presented to the public at the Royal Palace. Leonardo was the epitome of a man of two cultures, a Renaissance man, both artist and technician, artisan and humanist. It is a value that we almost forgot we had buried in the back. It could be a good symbol for the new millennium which, more and more, will require the capacity for interweaving the two cultures. 5 THE PEOPLE OF TORINO TODAY AND TOMORROW A little more than 900,000 people are living today in the municipality of Torino. In 1951, at the threshold of the "economic miracle, " there were 700,000 inhabitants. At first glance, it would seem that in almost half a century there has been a slow physiological growth. However, another piece of data will enlighten us: at the beginning of the 1970's, the population had grown to 1 million and 200,000. In only twenty years, the population had thus almost doubled to then diminish again in the successive period and reach today a number not far from where it started. This sequence of demographic data synthesizes a story of both economic success and social stress: Torino was one of the epicenters of the rapid and difficult process of Italian modernization. The aforementioned statistics, however, do not represent with precision the demographic events because the true social subject is in fact the Turinese metropolitan area which includes 53 adjacent municipalities and which extends beyond the province. If one excludes Torino, the area has never stopped growing since the times of the "economic miracle, " although it does so today in a more contained manner. If instead one includes the regional capital, since a few years the population of the metropolitan area has begun to contract; today, in its entirety, it amounts to approximately 1 million and 700 residents. Thus, the population is redistributing itself, the city is spreading, while the center is shrinking, just as in many other European metropoli. The demographic decline of the Turinese municipality is determined both by natural dynamics as well as migratory ones. In the 1990's, the total effect has been an average decrease of one percent per year. Instead, in the belts, the population is increasing slightly for both of those reasons, to an annual average growth of 0.3 percent. The metropolitan area of Torino is in a counter movement compared to the region as a whole: the Piedmontese population is diminishing because the natural balance is diminishing without a positive migratory balance that is able to compensate for the loss. The Turinese province (excluding the regional capital) is instead currently registering a rising flow of immigration that is decidedly superior to those of the past: this statistic is interpreted principally as a redistribution of the Turinese population on a vaster area than the traditional metropolitan outlays. Like all of the large Italian municipalities, Torino has an aging population, but it is not the oldest. It is younger than Milan, Genoa, Milan, and Florence (table 5.1). The index of dependence - that is, the percentile relationship between the population not yet or not anymore of working age to the rest of the population - is at the moment inferior, and thus more favorable in terms of demographic balance, with respect to Milan, Naples, Palermo, Genoa, Bologna and Florence. As far as the future is concerned, Torino today has more children aged less than 14 years than Milan, Genoa, Bologna, or Florence. The population that lives in the metropolitan conurbation is on the average younger than that which lives in the central municipality (table 5.2). It is therefore more useful to examine demographic tendencies in the frame of the entire metropolitan area. The previsions of the statisticians, who make certain realistic hypothetical assumptions based on the current situation - a slight increase in the average number of children per woman, a modest lengthening of life expectancies, the same level of migratory flow as in the period 1992-96 - lead to the results shown by table 5.2. In the entire metropolitan area, those older than seventy-five will triple, becoming 12 percent of the population. In general, the number of elderly will have increased and the central band between the ages of 35 and 54 years will remain a stable size. Instead, the number of young people and children will have greatly diminished. Essentially, Torino does not present a demographic picture that is more unbalanced than that of other Italian cities. Nonetheless, the fact remains that a difficult juncture is rapidly approaching. Not only are the elderly increasing and thus it is necessary to prepare adequate services in order to deal with the situation, but the labor market might be affected by these transformations. According to the demographers, the shortages will not be stopped by immigration, which for this reason should be much more consistent than what is reasonably predicted; nor by an increasing participation of women in the labor force, because it is already considerable in the Turinese area; nor by a lengthening of the working life, which probably will also occur. The fundamental point is that the young will be a scarce resource and that, consequently, their dispersion must be avoided by investing greatly and with much care in their training and entrance into the work world. Demographic effects and the dwindling of the possibility of a welfare state will also have another consequence: the problem of labor shortages will no longer be able to count on the indirect effects of early retirement policies and there will still be less young people to insert. It will become even more pressing to have a continually adequate development of the professional training of those who work, at all levels. Table 5.1: Population indexes Commune Old age index Dependence index** % 65 year-old or older s * population Rome 118.1 36.6 14.5 Milan 193.1 38.2 18.2 Naples 68.8 41.8 12 Torino 159.1 37.6 16.8 Palermo 58.4 44.7 11.4 Genoa 226.1 44 21.2 Bologna 306.3 44.9 23.4 Florence 242.5 45 22 * Ratio of the population which is 65 years old or older and that which is less than 14 years old. ** Ratio made up of a numerator which is the sum of the population 65 years old or older and that which is less than 14 years old and of a denominator made up of the population aged 14-64 years. Source: 1991 Census data. Table 5.2: Age structure in the Turinese metropolitan area from 1981 to 2015. Torino 1981 1991 1996 2000 2005 2015 0-14 18 12 11 10 10 10 15-34 29 29 27 26 23 20 35-54 30 28 28 29 29 29 55-74 19 23 26 26 27 26 Beyond 75 4 7 8 9 11 15 Total 100 100 100 100 100 100 First belt 1981 1991 1996 2000 2005 2015 0-14 22 15 13 13 13 14 15-34 31 32 30 27 25 22 35-54 30 31 30 30 30 29 55-74 14 18 22 23 25 25 Beyond 75 3 5 5 6 7 10 Total 100 100 100 100 100 100 Second belt 1981 1991 1996 2000 2005 2015 0-14 22 15 14 14 13 13 15-34 31 31 30 27 25 22 35-54 28 30 30 30 30 29 55-74 15 18 21 23 24 25 Beyond 75 4 5 6 6 8 10 Total 100 100 100 100 100 100 Metropolitan area 1981 1991 1996 2000 2005 2015 0-14 20 13 12 12 12 12 15-34 30 30 28 26 24 21 35-54 29 29 29 29 29 29 55-74 17 21 24 25 26 26 Beyond 75 4 6 7 8 9 12 Total 100 100 100 100 100 100 Source: IRES 6 THE PRODUCTIVE ENGINE 6.1 INDUSTRY Fiat and the production of autovehicles not only constitute the primary productive tradition of Torino, but they also continue to be Torino's strongest specialization and presence on an international scale. The globalization of the economy, the processes of technological restructuring, and the de-centering of productive activities in different areas have strongly diminished employment in all of the old auto centers such as Piedmont. In the future, even if Fiat continues to maintain in Torino "the brain and heart of the company" - a decisive contribution to the local economy with both direct and widespread effects - we should not expect that the automobile industry will increase employment. The vehicular sector is thus strategic in the Turinese economy but we should explore the other areas among the varied local productions that show potential and possibility of growth. A recent study has identified three sectors that have emerged in recent years as particularly vibrant and capable of development: - vehicular, the traditional section of the area - machine tools, robotics, industrial automation, evolution of Turinese mechanics - design and planning, the heart of innovative activities The vehicular sector is undergoing various transformations, as a consequence of a sizable selection process regarding the supply firms, based on their capacity of providing innovation, competitive prices and reliability. It has also become crucial to sustain elevated levels of investment, a factor which has led to the marginalization of many of the small and medium subcontractors. The result of this process seems to be a tendency towards the elevation of the organizational and competitive abilities of the sector, an indispensable condition to be able to access international markets on a larger scale. The difficult insertion into the foreign market and access to innovation are currently the critical points within the vehicular system. The sector of machine tools, robotics, and industrial automation show a marked concentration of firms (approximately 200) operating in an ensemble of activities tied to the automation of industrial processes and, particularly, mechanical processes. The sector's principal points of strength lie in a high quality entrepreneurship, widespread technical capacities, a qualified work force, and a context where there are firms specialized in subcontracting. The relationships with the activities of research and development, on the other hand, are more ambiguous. Although the final producers of machine tools are creating ever tightening relations with public and private research entities, their suppliers are not able to gain access to these innovative environments and probably the diffusion of innovation is generally inferior to what it could be. The sector of design and planning, more and more characterized by its advanced and prestigious function, the crux in the productive cycle of a product, plants its roots in the manufacturing tradition of the city, in the widespread know-how that traditionally can be traced to the two preceding strategic sectors in the Turinese system. For the Torino-design show (1995), 146 offices operating in Piedmont were identified, 104 of which were specifically occupied in the field of industrial design. They were mostly concentrated in the province of Torino and generally constituted by small firms (1 to 5 workers). In the 1980's and 1990's, this sector witnessed a considerable expansion, with the development and consolidation of significant skills and specializations and a relative increase of investments. The professional preparation - essential function for the development of the sector - is delegated to three principle entities: the Architecture Department of the Polytechnic of Torino, where Industrial Design has been one of the core courses since 1969; the School of Design and Applied Art, founded in 1978; and the European Institute of Design, which has been in Torino since 1989. Alongside these three sectors of strategic relevance are other productive specializations that appear to be important for reasons of consistency, innovativeness, and tradition. These are telecommunications, whose strategic value we will discuss later, the aerospace sector, anti-intrusion systems, graphic arts and publishing, and the fountain and ball-point pen sector. The aerospace sector is centered on a single firm (the Alenia-Aerospace-Divison Space, of the Iri/Finmeccanica group) around which revolve a small number of firms. This firm in 1997 employed approximately 850 people and constituted almost 59 percent of the national aerospace industry (followed by Telespazio and Fiat/Bpd). Alenia- Aerospace is specialized in the production of scientific satellites, orbiting platforms and space systems characterized by a high number of equipment interconnected with each other. The sector of anti-intrusion systems was born from the evolution of the first Italian manufacturers of anti-theft systems that emerged in Torino in the 1970's. This sector has some of the national leading firms as well as important international competitors. It constitutes a highly dynamic market with margins of growth that represent an important niche for diversification for Turinese manufacturing. The sector of graphic arts and publishing is a particularly vibrant sector in which industry and artisanship are combined. The health of the well-established sector of Turinese typographic production can be seen by the relatively high number of small and medium producers who are in brisk competition with each other. As far as the book-publishing sector is concerned, there are two primary operating groups: 24 medium-large firms, historically rooted in the city, and approximately 30 medium-small publishing houses that are highly specialized. The fountain and ballpoint pen sector employs almost 3,000 people and includes, in Torino, 14 internationally leading firms. Heavily export oriented since its origins, this type of industry is characterized by the ownership of a considerable store of information pertaining to international markets and the particular ability that the entrepreneurs show in occupying available market niches. The sector is at a good technical level: a significant reason for the competitive advantage that Turinese producers have comes from their ability to introduce innovation in inks, non-plastic materials, alternative tips and in the materials. We have not yet discussed electronics, nor the computer industry, a crucial sector that exists in the metropolitan area but that is especially present in the area around Ivrea. Here Olivetti has created an important pole of production that, as we know, is today in crisis and undergoing heavy restructuring. A study done by Ceris a few years ago called attention to the cross-fertilization between mechanics and electronics. This was already happening in the zone between Torino and Ivrea, making one think of a "mechatronic plane." Not losing the electronic know-how and finding the conditions for its relauching is today a task that cannot be postponed for the whole metropolitan Turinese area. We will return more generally to the subject of innovative sectors soon, in the paragraph dedicated to technological research. Investments are of enormous significance for defining the context of the local productive structure. The study "Foreign investment in Piedmont, " overseen by IRES, shows that there are 383 units in Piedmont operating with foreign capital. The province of Torino is by far the principal destination for foreign investments, with 59 percent of the units, a number that rises to 85 percent if we only consider service firms. The majority of these investments are concentrated in the metal-mechanic sector (40 percent of local units) and particularly in the automobile industries. 6.2 TELECOMMUNICATIONS Torino is one of the primary centers in Italy in the telecommunications sector if examined in terms of tradition, the quantity and quality of the firms and research centers (both business and university) that are found in the metropolitan area. There are many firms in the telecommunications sector that have their legal seat here, including Telecom Italia, Tim, Tin, firms that produce terminals and apparatus parts (of which Urmet, Trucco and Sime-Brondi) and some producers of copper cables and optical fiber. Torino has a good concentration of competencies for research, particularly in the field of innovative technologies. One need only to think about the fact that 20 percent of the national budget for Research and Development by private subjects is concentrated in the Turinese metropolitan area. In particular, the city hosts numerous "research and development" centers that work in the telecommunications area, with interests and research directions pertaining to different parts of telecommunications, ranging from studies of new technologies of transmission (optical fibers, satellite transmission), to the analysis of the opportunities offered by technological convergence and from the new technologies of communication. The profile of the city in terms of its institutions and telecommunications research centers, which define its competitive advantages with respect to other realities, both Italian and foreign, is gathered from the information contained in table 6.2.1, where the principle public and private research centers are listed. Table. 6.2.1 Public and private research centers in the Turinese area Public Research centers Specialization G. Ferraris National Electrotechnical Institute Electric Metrology Cnr Center for Television Studies (Cstv) Innovative technologies Cnr Center for Propagation and Antennas Studies Electromagnetic waves and frequencies planning (CESPA) Cnr Center Numeral Elaboration of Signals Studies Multimedia and telematic services (CENS) Consortium for Computer Systems (Csi) Piedmont Region Agency. Responsible for the University telecommunication infrastructures and of their integration with Italian and international university networks (GARR; EARN and BITNET). Polytechnic (Electronic Department of the Polytechnic Telecommunications. optical communications. of Torino) electromagnetism and networks Polytechnic (Automatic and Computer Department of Computer and Multimedia the Polytechnic of Torino) Private Research Centers Specialization Study Center and telecommunication laboratories Main Italian research center in telecommunications. (Cselt) electromagnetism. networks and multimedia Rai Research Center Innovative technologies in the radio and television sector Omnitel research center (headquarters in Ivrea) Telephones and computers Alenia laboratories (headquarters in Caselle) Electromagnetic compatibility Source: Rosselli Foundation. In Torino there are also other subjects operating in the field of telecommunications, among which are Anfov (National association of producers of video information), some publicity businesses (among which is Spira), and two of the more important Italian advertising agencies (Armando Testa and Bgs). The endowment of Torino and its province in terms of a diffusion of basic telecommunication services is above the national average but it still does not seem to be in line with the idea of a telecommunication capital. Table 6.2.2: Basic telecommunications. A comparison between Torino and other metropolitan areas 1995 Provincial statistics (fixed TORINO BOLOGNA GENOA MILAN ROME telephones) Commercial telephone subscriptions for 129.9 153.2 135.5 156.1 129.4 100 businesses Private telephone subscriptions for 100 87.8 91.1 98.1 93.1 100.6 families Source: Tagliacarne Institute Nonetheless, Torino seems to be in a good position regarding advanced infrastructures; in 1995, for example, the Project Torino 2000 was born from a collaboration of the City of Torino and the Stet Group. This project has made available a sort of citizen Intranet, which guarantees important services in terms of the band width and assures a wide connection to a vast number of subjects. Currently, there are 120 subjects that provide advanced multimedia services on the large band web of Torino 2000 (12 large ones in the business sector and 110 in other sectors such as health, education, public entities). An indispensable role in the diffusion of services and technologies that constitute the backbone of what is defined the information society is played by small operators in the private sector. Among these operators, some have strategic importance, such as the suppliers of access to the Internet, the so-called Internet Service Provider (ISP), who are in an interface position between the users and the contents and services of the Web. In the province of Torino, according to data from Internet News, in 1998 there were 73 ISP. Increasingly more frequent in Italy are initiatives aimed at drawing citizens nearer to the public administration through the use of Internet, with different methods which can be traced to the model of a civic web. The City of Torino launched in 1995 a service called Telematico Pubblico (Public Telematics,) guaranteeing help for access to nonprofit institutions and associations. The current configuration of the Turinese productive apparatus, which has a significant amount of large firms operating in the telecommunications sector, accompanied by high quality structures in addition to centers of research and development whose value is recognized internationally, proves to be an environment favorable for the development of entrepreneurial initiatives in the particularly rich sectors of the telecommunications field. 6.3 TECHNOLOGICAL RESEARCH Technological research in Torino and in the Piedmont is characterized by a variety of interests and a great potential. Operating in the field are both public and private institutions, often with centers of international importance. Some of the more important ones are the Institute Colonetti, in the metrology sector; the National Electrotechnical Institute Galileo Ferraris; the Fiat Research Center, which constitutes a point of reference for many of the firms located in the area; the activities regarding car design, the Rai Research Center, the Italgas Research Center, Cnr centers and various departments of the Polytechnic, which in addition to doing analyses and research are also equipped to offer certification of products and quality based on European norms. An important role is also covered by research in the fields of chemistry, biotechnology and the environment, activities which make it possible for firms to operate outside of the traditional vocations offered by the Piedmontese productive system. The existence of a noteworthy number of public operators in the fields of research concerning agriculture, livestock production and diet seems to be able of supporting the development of the agricultural and food sector which are of particular importance in the region. The most reliable and recent study concerning technological research, the "Repertory of research centers operating in Piedmont" from 1995 and updated in 1997, was able to identify 220 public and private centers that are shown in Table 6.3.1 divided according to fields of research. The great majority of these are found in the Turinese area. The potential of the research field, which employs several thousand researchers, is thus noteworthy. However, the moment has come to ask our selves a fundamental question regarding the relationship between scientific- technological research and industrial production. The Turinese area can be considered, in terms of quantity, quality and variety, a top-notch area of Italian technological research, internationally recognized in many fields. However, this potential is not fully exploited by the productive system and, in turn, its lack of innovativeness consequently limits the possibility of growth for research. It follows that many of the advanced situations that we have considered on a national scale are no longer so advanced when seen in a global perspective. The truth is that Italy continues to lose positions in the most innovative and strategic sectors of the economy, precisely those tied to technical-scientific research. In Italy, the relationship between patents and gross national product is three times lower than that of England and four times lower than that of Germany. Italy participates in an entirely marginal way to the global commercial exchanges of high technology products and its quota is diminishing: from 3.4 percent in 1990 to 2.7 in 1995. Out of 100 workers, in Italy, 29 have a personal computer, 79 in the USA, and 45 in the European average. The percentile relation between computer expenses and GNP is 1.5 in Italy, 3.5 in the USA, 2.3 in Japan, 2.8. in Great Britain, 2.2 in Germany and 2.3 in France. Analogous data could be found in another highly innovative sector: biotechnology. We have called attention to computers and biotechnology because in Torino and in Piedmont these sectors have an important tradition, alive with research, and with industrial connections that are being lost or that are unable to grow. Thus a decisive point for the future becomes clear: Torino is a pole for high level technical-scientific research that is full of potential and that has, more than in other national sites, formed active relations with industry. Investing in research and forming tighter and more systematic connections between research and industry, with increasing investments in these innovative sectors, is not only a strategic possibility for Torino but a fundamental strategic resource that the nation has in Torino in order to not decline in the globalized economy. It is a strength that the city can and must make known and valued in the common interest: it is reasonable to concentrate efforts and resources where they can bear fruit. It seems however that the effects in terms of industrial applications are inferior to the potentials, being limited to the restricted environments of producers or users of research. It must also be noted that one cannot simply expect that a precise demand for research and consulting services will develop on the part of firms, especially if small or medium-sized. It is necessary that the centers and laboratories personally offer a range of services and that they are called to explore opportunities for collaboration by actively promoting their potential. One can say that, generally, a truly coordinated system of technological research in the Turinese area still remains to be thought out. An essential resource is waiting to be organized. Table 6. 3. 1 Research centers in Piedmont organized by field of activity and typology of agency. Public Private Total Fields of activity Universit Polytechni Cnr Others Total Non metal minerals 1 3 - - 4 - 4 New materials, Superconductors, - 4 1 1 6 8 14 magnets Agriculture, Forests, Zootechnic, 6 - 2 6 14 1 15 fishing Human and animal diet 4 - 1 1 6 1 7 Chemistry, Rubber. Plastic 5 2 - 1 8 6 14 Pharmaceutics and cosmetics 6 - 1 - 7 1 8 Metal processing, mechanics, 1 3 2 2 8 6 14 electrical machines Industrial automation, Robotics - 3 2 - 5 3 8 Electronics, Computers 2 3 1 1 7 7 14 Telecommunications, Satellites - 1 1 1 3 5 8 Biology, Genetics, biotechnologies 7 2 5 2 16 4 20 Ecology, Environment 3 2 2 3 10 4 14 Research connected to automobile - 1 - - 1 3 4 production Computer control instruments for - 2 - - 2 3 5 transportation (airplanes. ships. trains) Construction and hydraulic works - 5 - 1 6 - 6 Aeronautics, Space - 1 - - 1 4 5 Project centers, Quality - - 1 1 2 3 5 Energy - 2 - - 2 3 5 Basic and nuclear physics, fluid 1 2 2 2 7 1 8 dynamics. Astrophysics, mathematics and statistics Optics, Optical fibers - 1 1 - 2 3 5 Earth sciences 1 2 3 1 7 1 8 Phyto-pharmacology, fungus, 4 - 3 4 11 1 12 Agricultural research Metrology, Taring, measurements, - 2 2 3 7 6 13 analyses and tests Medicine, medical chemistry 3 - - - 3 1 4 Printing techniques and arts - 1 - - 1 - 1 Various (textile, wood, leather) - - 1 - 1 - 1 Total 44 42 31 30 147 75 222 Source: Repertory of research centers operating in Piedmont 7 NEW RESOURCES FOR DEVELOPMENT 7.1 CULTURE AS RESOURCE The cultural system of a city represents an essential strategic resource. This is true when looking at the present, in that it is a primary indicator of the ability of giving one's citizens the stimulants, preparation, and opportunities for intellectual and social growth. But it is also true when looking at the future, as a bet made on human resources. It is fundamental for Torino to invest in the cultural system of today and tomorrow, to be able to count on places and manners of cultural consumption that are accessible and widespread and, at the same time, to guarantee a continuous education of its new generations. This chapter does not presume to deal exhaustively with such a vast and complex topic but it will delineate in a concise manner some of the essential points concerning the educational system and the cultural production of Torino. Education The data on the Turinese educational system seem encouraging, in the sense that they highlight, for the most part, a tendency towards educational pathways that are more efficient, flexible and well aimed. The 1990's brought a significant redimensioning of the system (mostly because of the demographic decline), but the high school enrollment percentages have shown a constant growth throughout the entire decade, thus continuing a trend already started in the 1980's. The ever increasing passage to high school from middle school, which today reaches 85 percent for Torino and its province, combines with a dwindling of failed pathways (failures, drop-outs, repetitions), together defining a generally positive dynamic. The university constitutes a central challenge for the City of Torino, an important pole of attraction and a creation of resources; today, it has, in its two universities - "University of Studies" and the "Polytechnic" - more than 85,000 students, busy in one or more of the 144 possible majors. The Turinese seats gather 90 percent of the Piedmontese university students and they attract a certain number of registrants from the entire national territory: 10 percent of Turinese university students come from outside of the region, with a peak of 18 percent for the Polytechnic. This means that the city is one of the capitals for university education in Italy: it can thus count on a powerful source of cultural and economic energies; it also means perpetuating, through its two universities, that cultural capital that in Torino has always combined humanistic traditions with technical- scientific know-how. Currently hiding behind the large numbers of the Turinese university population are large problems of inefficiency, mostly tied to the rate of failure of students to take their degree in the time prescribed which is among the highest in Italy and to saturated structures, particularly for the "University of Studies." For the next few years, a significant contraction of enrollment is predicted (already found in certain departments) due to the demographic decline, a stronger fear of intellectual unemployment and to policies that limit access. One can reasonably imagine that this diminution will help to decongest the system, without however significantly damaging the number of degree holders admitted to the labor market : the new policies launched to reduce the rate of drop outs will be able to guarantee courses of study that are more agile and more motivating. The future of education in Torino must necessarily pass through a reconsideration of the educational pathways, in search of efficiency, flexibility and excellence. By now, the propensity for rendering the university system lighter and yet complex has been consolidated through, on one hand, the increasing role of university researchers and "contracted professors", and on the other, a greater differentiation between educational packets. The universities today enjoy an economic and operational autonomy that can help them launch initiatives together with other local economic and social subjects. In addition, there is another process that is consolidating itself which is forcing the Turinese university to have a less centrally focused and closed structure and, instead, be more open and web-like: the universities are expanding in de-centered nuclei, with seats located in various spaces, metropolitan or regional. There are by now many branches of universities and departments distributed across the territory from the three universities of the region: the University of Torino, the Polytechnic, and the University of Oriental Piedmont. The relational webs that the Turinese universities will be capable of weaving in the coming years will be fundamental for strengthening an interdisciplinary spirit and an international vocation: already today, the attempts to catch up on the tardiness of integration among departments is visible as are those attempts to tie more actively the academic world to high schools. In the European sphere, the Socrates project (which allows university students to do part of their program of studies at a foreign university) is at the moment having bureaucratic difficulties, problems in hosting, and a limited power of attraction that the city seems to have on foreign students. The offer of excellent education is taking on in Torino a multiplicity of forms, from graduate courses to university programs of study that are particularly innovative and prestigious: they will be able to furnish the city a competitive advantage in the field of quality higher education. The "University of Studies" and the "Polytechnic" have respectively activated numerous specialization schools and post-graduate courses. Torino holds the seats of the "European Training Foundation" of the European Union, the "International Training Center" of the Ilo (United Nations) that trains officials for developing countries, Corep (Consortium for Research and Continuing Education), which represents an interesting case of cooperation between universities, local entities, the Chamber of Commerce, the Industrial Union of Torino and important private economic subjects. The Turinese vocational training sector stands out in Italy for the number and quality of initiatives (with a considerable average of course hours and small didactic groups), but when it is compared on a European scale it proves to still be lacking. The scientific-humanistic root of the Turinese university, which goes back to 1404, is part of the city's historic- cultural heritage which is quite ample and diversified. It finds continuity today in the existence of numerous libraries and prestigious art galleries, in the 322 museums and other similar institutions, in the cultural associations (514) and musical institutions, and in the great publishing tradition. In the words of Arpino, "Torino is one and a thousand," and today, such cultural wealth, before even considering its obvious economic dimensions and potential for tourism, must be evaluated as an instrument for knowledge and social growth for the citizens of Torino. A culture of technical knowledge and know-how grafted itself onto this root, starting in the 19th century, symbolized by the birth and development of the Polytechnic of Torino. The choice of investing in our cultural heritage is tightly connected not only with the enterprise of building a new model of development for the city, but also with the goal of drawing from its industrial, managerial, scientific and financial worlds the resources which are essential for its own innovation, for a rethinking of its two important roots in terms of overall economic developments. In addition, it is necessary to reduce the distance that separates the public and the private, industry and culture, and local policies and interventions made by the central State. In the Italian context, the inhabitants of Torino seem to be somewhat distracted and occasional consumers of cultural events. In Torino, the average of citizens with a high level of instruction remains below the average for the north of Italy, despite the recuperating tendency for catching of recent years. Furthermore, Turinese cultural institutions and events often have an excessively elitist tone and a communication that doesn't inspire the larger public to participate more assiduously. Cultural Production When discussing cultural production it is necessary to note the efforts of the City of Torino for the promotion of performance activities: such efforts permit one today to speak of the great wealth and dynamism found in the fields of music, theater, dance, cinema and of a tradition by now consolidated of public and private initiatives in favor of the sectors of creative production, with particular attention given to young people. The joined action of the Municipal Office and the Region of Piedmont has found concrete manifestations in products of prominence on both a national and European level, such as the Literary Observatory for the Young, the Book Fair, the Music Exhibition, the festival Days of the Summer, the International Youth Film Festival, the Young Italian Artists Circuit, the Media library of Italian Independent Cinema, the Biennial of Young European and Mediterranean Artists, which represents important sites of creative experimentation and examples of cooperation between public and private, and between the local dimension and European circuits. The list of "health indicators" of Turinese cultural production includes an exceptionally vast number of subjects: from amateur groups to professional groups devoted to classical, jazz, rock or popular music, theater and dance, to services specific to performances, to those sites of training and cultural documentation, within which is located the beating heart of Turinese culture, the myriad of associations, entities, institutions, study centers and schools. The following are the principal points of the program on which the City of Torino is working in the cultural sphere: - Safeguarding the importance of investments in culture, considered a strategic resource for development. Specifically, there are two main goals that the City plans on working towards in the near future: a new seat for the Central Public Library, as a qualifying sign of the Turinese urban transformation; the creation of a large museum system that operates in a coordinated way and is accessible, through the use of aids such as a single, all encompassing entrance pass. - Underlining the role of cities as potential subjects capable of conducting their own cultural policy. Stimulating and favoring dialogue between different entities and institutions is demanding but the results, in terms of cultural fruition, are comforting; that is evidenced by projects such as "Music System," "Contemporary Art System," "Museum Subscription" and the program "Take an evening at the Theater". - Acting simultaneously on two fronts: guardianship and valorization of the historic-artistic heritage and cultural production. To sustain the collections held in the Museum of Cinema, for example (which will soon find their seat in the restored Antonelliana Mole,) Commission Film and other initiatives join forces to give Torino once again the role of a city in which cinema is produced. - Ensuring an increasingly widespread diffusion of cultural initiatives, concentrating efforts on the young and favoring the de-centering and involvement of municipalities in the metropolitan area. The fight against social decline can in fact join with the creation of new professional figures: to this end, Torino candidates itself to create a suitable institute, located in the restored spaces of Venaria and which could in the future become a training school at a European level. - Inserting the city's cultural initiatives into international circuits, through the association "Torino Capital European City". Among the first tasks of the association are the ambitious project of renewing the Cavallerizza, the initiatives for the commemoration of the Albertina Statute and the display of the Holy Shroud. The efforts directed towards reaching a high qualitative profile and accessibility of cultural resources will be key for the future of Torino. These issues need to be understood in a broad, systematic and integrated manner, in such a way as to include both practical, logistic and economic access to the structures and places, as well as a process of modern education that provides the intellectual tools and desire to be drawn to them. The necessity still remains of focalizing a plan of event promotion and communication that is embracing and stimulating on a national and international plane. 7.2 THE POTENTIAL FOR TOURISM Tourism is a phenomenon that is undergoing a significant expansion on a worldwide scale. It is an imposing flow of movement that directs itself to traditionally recognized destinations but also searches for new ones, stimulating the continual redefinition of "tourism-product" and the affirmation of new destinations. The tourist market of the last few years is characterized by: a saturation of mass tourist offers; a growing weight taken on by cities of art and business to which are tied specific circuits of fruition; a greater fragmentation of vacation periods. In this picture, "urban tourism" is one of the market niches richest in prospects. Torino and the tourist market today In 1995 Piedmont registered 2.37 million incoming tourists and 8.23 million total presences. In the same year, in Torino, there were 639,079 incoming tourists and 1,473,393 hotel presences, with a constant increase, respect to the 1980's, that was also confirmed in 1997 by 679,032 arrivals and 1,525,951 presences. The most significant increases were registered by foreigners. Compared to the rest of Italy, Piedmont and Torino are marginal destinations. Piedmont barely has 3.4 per cent of the share of registrations at lodgings and 2.8 percent of total presences, with an average stay (referred to hotels and other lodgings) of 3.5 days, the same amount it was at the beginning of the decade. It is also inferior to the national average of 4.2 days (with peaks of 6 days in some regions). In Torino, the average stay is little more than 2 days, thus lower than the average for Piedmont and has remained largely constant during the period 1987-97. In 1998, due to the effect of the Holy Shroud, the average stay rose slightly. The brevity of the average stay is in Torino's case an indicator of the preponderance of a business tourism, working or of transit. Currently, the presence of visitors who come to Torino for pleasure is altogether marginal. Currently: - approximately 70 percent of visitors come to Torino for professional reasons, with a relatively balanced international presence that favors France, Great Britain, Germany and the USA as places of origin; - 20-25 per cent is constituted by people who come into the city for specific cultural, sportive, or religious events; - the remaining 5-10 per cent is represented by people in transit towards other destinations. Due to this component, Torino is primarily a "stopover city" and not a "destination-city. " Hotels register the lowest amount of guests during week-ends, showing that visitors come primarily to the city for work-related reasons. Analogously, on a seasonal level, the lowest values of the year are reached during the months of July and August. The city seems to close its doors instead of exploiting its full potential. With 507 lodgings (1995) out of a regional total of 1,544 lodgings, the province of Torino has the highest hotel capacity in Piedmont, which in turn is at the bottom of the rankings for the northern and central regions and much below the natural averages concerning the relation between visitors and hosting capacities. With the inauguration of the Meridien-Lingotto, one finds in Torino 14 4-star hotels, 40 3-star hotels, 24 2-star hotels, and 67 1-star hotels. In 1986, only 4 per cent of the lodgings were at a superior level (four-star), while 80 per cent were at the lowest and least qualified level. Progress has been made but the fact remains that accommodations are insufficient during the periods of maximum tourism and constitute a barrier for the development of a significant increase in demand. In particular, there is a lack of mid-range lodgings (two and three-star) that can offer a good qualitative standard as well as a relatively affordable sojourn. Out of the more than 100 large hotel chains present in Italy, only a few are present in Torino: Jolly Hotel, Starhotel, Best Western, Le Meridien, Atahotel, Torino Hotel International, Holiday Inn, and Logis. Missing are hotels belonging to chains such as the Sheraton, Hilton, Inter-Continental, Marriott, Ramada and so on. The name of Torino does not appear in the major hotel circuits of an international level. Restaurant businesses are oriented towards business travelers. Most of the city's major restaurants are closed on Sundays. The central area, heavily trafficked by visitors, offers few attractions in terms of diversion and services. In the Piazza Castello area, few places are open past eight p.m. and the public, after having come out of a theater or cinema, has a limited amount of seats available (about 100) in nearby restaurants or cafes. There does not exist an "animated neighborhood of restaurants." The current image of the city Today, Torino occupies a secondary and uninfluential position in the offers made by professional operators. The city is a destination that is practically absent from all of the offers made by the tourism sector: it is not proposed by any operator that isn't local, be it a tour operator, airline company or travel agency. Only a few, among the hotel chains present, make specific offers specifically promoting the city. Torino and the Turinese area are only sporadically present in the specialized tourist publications. Many events that happen in Torino which aim to have international recognition do not have an adequately positive response. A decisive factor in the lacking valorization of Torino was, until last year, the absence of tourist "promotion." Tourists in Torino had difficulties in obtaining simple information on events and leisure activities. In 1998, the Agency for Welcoming and Tourist Promotion of Torino entered in action and has begun to fill this gap. Presently, there are no guides dedicated to Torino in one of the major languages (English, French, German, Spanish, or Japanese). Torino can be found only inside guides dedicated to all of Italy, where its uninviting "industrial" aspect is emphasized. The weakness of Torino's image is also found in the missing connection between the name of the city and the many brand names, famous all over the world, that are based in Torino and its area (for example, Martini & Rossi, Lavazza, Cinzano, Ferrero, Giugiaro, Pininfarina and Ghia). Competitive Factors Due to its geographic position and the quality of its historic, cultural, architectural, and environmental heritage, Torino has excellent potential for attracting international urban tourism. The arcades of Torino represent a noteworthy resource, even if today they are not adequately shown off to their full advantage, which promote, among other things, commercial activities. Few other cities in the world can boast of the same proximity, aided by good road and train connections, to tourist resorts in the mountains, at the sea and on lakes. In the span of 100-150 kilometers one can find the most important ski resort of northwestern Italy, as well as some of the principal national seaside resorts and, finally, some of the major lakes of northern Italy. Torino could be considered the principal, or at least fundamental, destination of three different circuits. The first is a regional one, with Torino as a "door to the Piedmont, " for those who, for example, wish to discover the local world of wine and gastronomy. The second, on a provincial scale, hinges on the Susa Valley during the winter months (and during the summer months, if it was correctly made the most of). The third is centered in the metropolitan area, and at its limits, the Savoy residences. The city, as well as its surroundings, from the point of view of tourist valorization and promotion, should be considered as a single unit. This is why, in addition to its unique environmental, architectural and landscape qualities, it offers a myriad of cultural and recreational opportunities of a European level, even if at times they are not maximized within the city itself. At the end of the 1980's, an international study indicated that the potential held by the leisure activities (concerts, film showings, exhibitions) offered by Torino was at a higher level than what was to be expected in an urban center the size of a regional capital. This abundance of cultural activities, however, was based on an extremely weak organizational and promotional structure, with an almost complete lack of specific institutions in addition to a very limited reception on the part of the public. Although the period of twenty years between 1972 and 1991, in terms of the flow of tourism, cannot be called an encouraging one, it has been countered in recent years (late 1990's) by a situation that shows prospects that were hereto unimaginable. It is necessary now to note the conglomerate of events and cultural happenings that the city already produces and which constitute an excellent base for a truly important urban tourism policy. "September Music," the "Torino Newport Jazz Festival," and the many other musical initiatives that already take place today (classical music, jazz, rock, and ethnic music) on one hand, and the "Torino Film Festival, " the future "Museum of Cinema" in the Mole, on the other contribute to the collocation of the city in international music and film circuits as well as augmenting the attractiveness of the city in specialized cultural circuits. The Castle of Rivoli hosts preeminent avant-garde art that is internationally esteemed Torino has museums of the highest order, among which the Egyptian Museum, the Royal Palace, and the Automobile Museum. This potential, if exploited, is capable of attracting flows of tourists that today seem unattainable (more than 500 thousand people per year) but it is penalized by a lack of exhibition structures and an exhibition culture that perhaps does not set itself the goal of attracting such large numbers of visitors. In addition, there are also general infrastructural limits (transport, hotels and restaurants) that today render impossible a policy of relaunching calibrated on the exhibition and museum fluxes of the large art and cultural centers. Torino, after years of obscurity, seems to be obtaining in the national and international media a greater dignity as a cultural center. The public success of certain artistic events is growing, in exhibition sites such as the Royal Palace, the Bricherasio Palace, the restored Modern Art Gallery, and the Albertina Academy. It is also true, however, that the Turinese initiatives and spaces - except for rare exceptions, such as the Castle of Rivoli - lack external "recognition." In general, what are lacking are initiatives of great scope, which to be defined as such need not only be important events under a cultural profile, but also events capable of attracting hundreds of thousands of visitors from the rest of Italy and also from abroad. In Torino, opportunities for daily leisure activities have multiplied, and stretch out over the course of the whole year. Any given week can offer, as few other European cities are able to offer, various kinds of concerts, enticing opportunities for lovers of cinema, exhibitions, and sporting initiatives. With the inauguration of the new Lingotto and of Torino Incontra, ("Torino Meets") the city has recently gained spaces for congresses and shows of an impressive caliber. These sites can be used to set the stage for the promotion of the resources of the city and the surrounding territories, as in November 1998 with the international success of the "Taste Fair" and, before it, the "Book Fair." The promotion of tourism requires specific improvements of the transport system and of the society's image. These imperatives are necessary additions to the criteria used for major infrastructural reorganization and the promotion of the image of the city that we have thus far discussed in this document. Presently, Piedmont is not a nationally relevant tourist destination and Torino is not a tourist city. It is a city of great potential, hitherto unexploited, with an accommodation infrastructure calibrated to the current requirements of tourism but still inadequate with respect to the needs of a city that wishes to be visible on the national and international market. It is necessary to note, however, that during the last months of 1998, the city was the subject of a series of positive articles which appeared in newspapers and specialized magazines, in Italy and especially abroad. It could be the sign of a change. 7.3 URBAN QUALITY There are many dimensions to "urban quality." Some of them are dealt within other parts of the document. Here we will call attention to two in particular: the environment and commercial services. Torino and the metropolitan area have an extraordinary environment, both natural and artificial: the Po, the hills, the Baroque architecture in the center, the Savoy residences, and further away, the Alps, the hills of Monferrato and the Langhe, and the sea of Liguria which is not far away. Nonetheless, these basic endowments are not enough if they are not assured a careful conservation that safeguards the quality of the elements. The Environment The condition of the city of Torino's natural environment is undergoing a significant evolution. That which is linked to environmental quality has become in these years a common concern and the object of specific interventions on the part of the City of Torino. Air pollution, according to data taken from test sites located in the city, seems to be diminishing for almost all of the polluting agents and it has, by now, stabilized at levels well under the maximum values indicated by the law. The only exception remains the concentration of carbon monoxide, which, in areas of high automobile concentration, still surpasses the prescribed limit many times a year. In addition to unusual interventions in exceptional cases, which a few years ago led to alternating license plates and "'pedestrians' Thursday," there exist strategic projects which aim to diminish average commutes and thus the emission of polluting agents. Project 5T (Telematic Technologies for the Transports and Traffic of Torino), after an experimental phase, will define the direction towards which new interventions should head. As far as water quality is concerned, the problem cannot be dealt with solely on a municipal level, in that it is dependent on the internal hydric basin of the Po, and thus from what goes on upstream. The laboratory installed in Moncalieri, before the Po enters the city, has found a situation of elevated pollution which, then, in the city tract, significantly worsens, evidenced by the samples taken in Castiglione Torinese and Brandizzo. The worsening of the Po's waters has occurred in the last year, after a period of improvement due to the activation of a purifier which by 1993 had brought the water quality to a level that allowed for the survival of salmon and for bathing. The worsening of the water has not necessitated the stop of its use as a source of drinking water (approximately 20-25 per cent of the quantity required), if not in the Brandizzo stretch, where water can only be used for irrigation purposes. The rest of the need for drinking water is satisfied by water coming from underground. In the last few years, this type of water has also been found to be more widely polluted due to its contact with water at the surface, thus rendering necessary the installation of purifying plants. The critical situation of the rivers (Dora, Stura, and Sangone are also polluted) compromises the usage of these spaces as sites for leisure activities and for this reason as well it is important to have a strategic project for urban quality. The City of Torino has given itself the goal to create two large frameworks for the maximization of its natural resources: the project "Torino City of Waters" and the project "Green Ring." The first projects is devoted to an environmental restoration of all of the river banks in such a way as to develop a vast system of greenery that crosses the city in a total distance covered of 74 km. The route will connect all of the largest urban parks, in such a way as to form a ring of greenery of more than 12 million squared meters, doubling the quantity of greenery in the city. The quantity of greenery available for each citizen is above the values required by the law and this amount has increased from the 1970's on. The greenery is constituted by parks and urban gardens (some of which are of remarkable dimensions and are comparable to the greater European urban parks) which hold a noteworthy botanical and faunal presence, which guarantee a significant bio-diversity in the city. There are two Regional Protected Areas within the municipal territory: the Mesino park, in which can be found the largest European colony of "Cenerini" Heron in an urban environment; the natural park of the Superga hill, which has a surface of 746 hectares. Analogously to the project "Torino City of Waters," the project "Green Ring" should deal with the city's natural and architectural assets, maximizing their capacity for utilization, both through aimed interventions as well as cultural and tourist promotion. The Savoy residences take on a particularly important role in this project. The valorization of environmental assets must also refer to the artificial elements of the city and the mode in which these are used. With this in mind, policies aimed at urban quality were centered on numerous projects of urban renewal and decoration. Among these are the projects for the creation of pedestrian zones which have progressively increased in number during these last years, especially in the center, reaching a total dimension of 114,000 square meters. This tendency is also shown by recent interventions done in the Piazza Castello and Piazza Vittorio. The majority of these are found in monumental zones of the historic center (site of museums, Via Garibaldi, Piazza Vittorio and Piazza Castello, the Piazzetta Reale and the churchyard of the Duomo, the Piazza Municipale) and, with the arcades, contribute to the creation of a unitary pedestrian system. Alongside the creation of these pedestrian zones, the interventions aimed at the decoration of city structures have been distinguished by the definition of certain norms which aim to construct a recognizable image, capable of making the most of the architectural qualities of Torino. It is necessary to note that these interventions are almost exclusively aimed at the center of the city, while the outlying areas constitute a problem hitherto unresolved. Thus, it becomes necessary that the interventions be coordinated with the Special Project for Peripheral Areas, which aims to enact programs of urban renewal for those areas less endowed with services. Commercial Services From 1991 to 1997, traditional retail sales in Piedmont diminished by more than 3,000 sales units; this phenomenon has caused the loss of more than 4,100 jobs, including shop owners who have left the activity. Modern distribution has registered an increase of more than 400 shops, which have provided work for more than 5,200 people, the majority of which are salaried. The total occupational balance is therefore positive, with approximately 1,100 jobs. The Piedmontese capital and its province absorb 53 percent of regional consumption and represent a site of great interest for the principal companies, who have set up 13 "hypestores" and more than 400 stores. Approximately 55 per cent of the shopping done by families in the large distribution chains is in the diet sector. In Torino and in its metropolitan area, two large French distribution groups have emerged (Auchan-Rinascente, Promodes-Gruppo G and Gs) and three German ones (Tenglemann-Pam and Panorama Rewe-Pennymarket, Lidl Schwartz-LDL discount). Operating in the city with success is the "superette" distributive model (Conad, Di' per Di', etc.) which combines both the characteristics of the neighborhood grocer (200-500 squared meters of sales surface) and of the supermarket. The discount phenomenon developed itself over the last years with varying degrees of success: only the German Lidl & Schwartz seems to have sales points with a good economic and market success. The other operators who have opened discounts have not been able to find their place, probably because of the massive presence in the urban area of open markets. There are in fact 59 open markets, of which 22 function daily: despite their price competitiveness, open markets also have difficulties mainly tied to a lack of parking places. The most important market of Torino is Porta Palazzo, one of the major ones in Europe, with an elevated number of stalls, more than 900, capable of catering to every type of consumption. In addition to the traditional stalls, there are the caravan stands which make up 11 percent of the total commercial presences. The spectrum of non-food supply is ample and varied: it is common to find franchises for the distribution of youth clothing (Benetton, Stefanel, etc.), formal wear (Facit, Gb Sportelli, Scali), and also the most important fashion chains; the distribution of footwear, classic and sporty, is for the most part tied to national or local franchises (Nike, Adidas, Scarpe & Scarpe); high quality clothing is mostly found in boutiques and long standing stores; semi-durable goods are organized in a capillary and traditional way. The business reform, which will enter into effect by April 1999, will bring considerable changes for the Turinese commercial apparatus and its development, changes which must be taken into consideration. What kind of development for traditional commerce? The evolution of distribution and the increasing importance of modern sales points, in a market that doesn't have any growth, tend to take away business from traditional stores. A part of those stores will be able to survive only if they adopt marketing strategies similar to those of supermarkets and are able to diversify their goods in such a way as to integrate the range of products found in supermarkets, "hyperstores" and discounts. All those products that have difficulty being sold in the supermarkets because of their top of the line quality could be sold in these sales points. The gastronomy shops, fruit and vegetable stores, butcher's shops, wineries, and bakeries which have been able to make a leap in quality have inserted themselves in a highly profitable niche. Non-food products have also fit themselves into these new forms of advanced independent commerce: stationary stores, perfume shops and toy stores are already evolving in this direction. The future will most likely see a reduced number of independent stores, managed in a traditional way but with the basic technology that is used by supermarkets: o stocks composed of high range products and specialties that because of limited rotation or a necessity of service are not successfully sold by sites of large distribution o a range of simpler products, normally sold by modern retail stores, to complete the selection offered to consumers; - priority given to sales and not to the stock; - elevated logistics, reduced stocks; - care given to the expiration date of products; - use of credit cards and debit cards; - business hours adjusted to users' necessity and thus, in urban centers, the general adoption of non stop hours. The patchwork of neighborhood shops is one of the riches of traditional European cities. Their function is not limited to commercial service; they are places of cultural vivacity, social integration and control of neighborhood life. We must keep this in mind in our efforts to preserve of the fabric of the small shop, because without such shops a city is fragmented and weakened. 7.4 THE MAJOR INFRASTRUCTURES Good connections with Italy and the rest of the world are fundamental factors for the success of every development plan aimed at Torino and its area. Today, highways, trains and airplane companies present varying levels of adequacy. The highway grid is on the whole satisfactory, although within a few years it will require interventions for maximizing its existing capacities, already near their saturation level (for example, the Torino by-pass and the Torino-Milan highway). It will also be necessary to complete several insufficient public works (the Torino-Savona highway) and to execute new projects, some of which have been in the planning process for a while (the Torino-Pinerolo highway), and others which are still waiting to be decided on (for example, a connection to the Cote Azure in France). More critical is the situation of rail and air connections. Torino already today is not sufficiently served by the railway system, in terms of quantity and quality of connections, both towards the south and east of Italy, and towards France and Switzerland. Potentially, Torino can count on an impressive air transport capacity, due to the presence of Caselle and the new Malpensa. The new air terminal of Caselle has marked an important improvement in the volume of passenger traffic. The planned direct train connection between the city center and the airport will facilitate the usage of this important infrastructure starting from the year 2000. The national contractor has decided to make Malpensa 2000 the stopover hub of intercontinental and European flights. It is necessary to evaluate the opportunities this brings to Caselle (which could reposition itself) and to the city. Malpensa is close enough to be considered Torino's second airport, specialized in intercontinental flights. However, the highway and rail links between Torino and Malpensa are decidedly insufficient. In conclusion, the train and highway connections require coordinated decisions made with speed to assure Torino and its area a level of air accessibility that is compatible with the projects devoted to the development of the area. It is a question of urgent decision-making because the projects in this sector require long periods of time in order for a consensus to be reached on what needs to be done, for the planning of the physical interventions, for the attainment of sufficient capital, and for the construction of the infrastructures. The strategic plan believes in the necessity of getting started immediately on working on the major transport infrastructures if they are to be finished by 2010. If one examines the statistics regarding internal mobility, one can notice a reduction in the total movements, mostly due to the population decline. The Turinese, however, are moving more than they used to with a private means of transport. The index of motorization goes from 0.6 automobile/ city inhabitant in 1991 to almost 0.7 in 1997; it is one of the highest values in the world. The use of public transportation comes down from 36,3 per cent in 1991 to 27.0 per cent in 1997. The increase in the use of private transportation is bringing the infrastructural net near its limits. The endowment in terms of accessibility and connection to the Italian highway net seems to be adequate, particularly now that the doubling of the Torino-Savona highway is finished. But around the city, there are some problems due to the congestion of the principal axes of traffic flow. Already today the by-pass does not seem capable of handling the flow of traffic, especially at rush hours, and it is an inadequate infrastructure unprepared to sustain in the future the increases of traffic that might result from the development of the city. The congestion of traffic manifests itself on an urban level as well, where the axes that cross the city, both in a north-south direction as well as east-west, are today insufficient. The problem becomes even more obvious in certain road junctures found in the municipalities of the metropolitan region, where the system shows evident limits for handling a heavy traffic flow of trucks. The solutions can be found by raising the level of supply to the level of demand but it might be worthwhile to define some possible alternatives. For example, the capacity of the entire system of public transport (including trains) could be increased. While the highway network is on the whole sufficient, some improvements need to be made to the train and bus systems, both for the reason of increasing accessibility as well as for improving the quality of urban and non-urban transport. The improvements to the train system should enter into effect as soon as certain projects are completed that are part of the "Passante Ferroviario di Torino" (the interment of the train and the elimination of a head station in favor of passing stations). The improvements of the rail system should also be made in relation to the creation of nodes of interconnections, both physical and organizational, with other types of transport. The project Formula is moving in this direction by creating a single pass that allows for the integrated use of trains and buses. The completion of the "Passante Ferroviario" should greatly improve the situation of urban traffic, in that the boulevard above the train will be an axis of north-south movement, while the interment of the train line will eliminate the barrier separating the east and west parts of the city, which are presently only connected by overpasses and underpasses that often cause traffic congestion. The intermodal question is a fundamental strategic one. The parking problem has been dealt within the city with the urban parking plan connected to the urban traffic plan. The "blue zones" (metered parking) were progressively expanded from the city center to semi-central zones and even outlying zones where there was a high demand for parking (for example, hospital zones). The payment in the "blue zones" has had positive effects. Now there is an increased turnover of people and thus a larger flow of users. "Passive traffic" (looking for parking) has been reduced and air is less polluted. Metered parking has moreover financed the construction of some big underground and open-air parking lots. This puts Torino's situation closer in line with the rest of Europe's cities. Interchange parking(parking at the city's edges to then take public transportation to the center) remains, on the contrary, problematic. The creation of sufficient parking sites is of absolute priority if the goal of an increased use of public transportation is to be reached. It is also of decisive importance that they are created along the urban and metropolitan railroad stations built by the Passante Ferroviario project. The intermodal question also plays a central role for the transport of goods. The system of goods transport in the Turinese area is characterized by a strong presence of trucks. According to the national program regarding intermodal centers, Torino built a few years ago a goods intermodal center (Sito) at Orbassano, along the by- pass. In the same area, but on the other side of the by-pass, there is the new agro-foods center (Caat) which, once opened, will take on some of the commercial traffic currently weighing on the General Markets of Torino. Due to its potential and size (2,800,00 square meters) the goods intermodal center is one of the five platforms of first rank in Italy. Sito's potential has not yet been fully exploited, since there do not yet seem to be any certainties regarding the creation of other intermodal infrastructures in the region, especially in the northern area of the conurbation, an area that could take advantage of the presence of the Pescarito car-park. Finally, the new asset of the rail system could improve the situation, although it is important to evaluate the possibility of separating the passenger line (High Velocity), necessarily inside the city, from the goods line (High Capacity) that could follow a different path, outside of the city. The new airport of Caselle was inaugurated in December 1993, making it thus one of the most modern in Italy. It has a utilized surface of 16,000 square meters for a total surface of more than 43,000 square meters and it is divided into 5 operative levels. It has a capacity of more than 3 million passengers per year and it has the most modern and advanced technological systems to guarantee the best conditions for safety and comfort. In order to prepare for the increase of passenger and goods, the company that manages the airport (Sagat) has planned important works of improvement and resource maximization. The Torino-Caselle airport manages a flow of over 200 airline flights per week and a passenger volume of more than 2 million people per year (1997 statistics). Both the volumes of passengers and goods transported by air from the Turinese airport have been consistently growing during the last years. Future plans for the development of Caselle have to keep in consideration the recent opening of Malpensa 2000. The Caselle airport will have to reposition itself. It must improve the quality of its national, international and intercontinental flights developing at the same time those services (for example, charter flights, private flights and cargo) that can be competitive due to its geographic position and the productive features of the area. Among the projects that have already been approved, the rail link between the airport and downtown Torino should be noted, which will be operational by the end of the year 2000. This project will enable the noticeable improvement in the accessibility of the airport services and could also be an important factor that can support special events and aid the attractiveness of the area for tourists. Due to choices made by Alitalia, it seems unthinkable that Caselle could compete with the new large airport of Malpensa. It wouldn't be a good idea anyway since Torino and its surroundings could benefit from the advantages brought by Malpensa without paying its environmental costs. This could only happen if an adequate accessibility to the airport via trains and highways is guaranteed. In this case, Torino and its surroundings would have a suitable capacity for handling large volumes of air traffic (Caselle and Malpensa) able to increase the attractiveness of the city and its territory. Map 8 shows all of the principal projects of metropolitan renewal in their different stages of execution as a tool for discussion. 7.5 THE FINANCIAL SYSTEM The context and the current situation In Italy, the localized model of the financial enterprises shows an elevated territorial dispersion. However, the sector is progressively converging towards a model that concentrates in a few places the most specialized and qualified people. In Piedmont there exist 69 bank companies, 32 of which also have their own administrative headquarters there. The sector is characterized by an elevated polarization towards many large banks and only a few small or medium sized ones. The principal trends of the period 1990-97 are: - an increase of over 50% in the number of tellers' windows; - the reduction of the average size of tellers' windows from 16.6 workers to 10.7 workers per window; - an increase in the presence of banks with headquarters outside of the region (especially in 1991-93). Currently, the Piedmontese bank market is dominated by San Paolo and by the two other large banks: the Banca CRT and the Banca Popolare di Novara. Altogether, the Piedmontese banks gathered in 1997 over two-thirds of the deposits of local clients and were responsible for almost fifty per cent of the jobs. The prevalence of local banks is also true for Torino, especially as far as deposits are concerned, while for employment the Turinese economy distributes its preferences over a large spectrum of credit institutions. The massive process of concentration happening in the Italian banking system has affected the Piedmontese banks as well. One need only think about the strong growth of the Istituto Bancario San Paolo di Torino, launched with a series of acquisitions and mergers which culminated with its fusion with the Istituto Mobiliare Italiano. Strong with an active balance of 340,000 million dollars, San Paolo - IMI, whose headquarters has been maintained in Torino, is the first Italian bank to reach European dimensions. The Banca CRT in 1997 perfected an agreement with the Cassa di Risparmio di Verona in Cassamarca to create a holding of control and of services (Unicredito), and in 1998 it signed an agreement with the Gruppo Credito Italiano for the fusion of Unicredito with Unicredito Italiano. The two cases have very different local impacts. In the first case, the nucleus of the group and specialized activities will remain in Torino. In the second case, it is probable that in addition to the central headquarters, some strategic activities will be centralized and shared between the partners of Unicredito Italiano. In both cases, the constitution of bank foundations, such as the Fondazione CRT and the Compagnia di San Paolo, takes on a great importance. These foundations have at their disposal millions of billions of liras deriving from the cessation of their participation in bank activities. . These are new operators who also have among their goals the social and economic development of the territory. In Torino, 8 "independent" insurance companies have their headquarters, of which, 3 (Sai, Toro Assicurazioni, Societa' Reale Mutua di Assicurazioni) are among the first ten in Italy. In addition, in Torino there is the headquarters of one of the most important European insurance-bank groups. Their collective earnings are equivalent to 13 per cent of all Italian insurance earnings. Insurance activities have shown signs of growth throughout all of the 1990's and currently amount to more 4,000 units, without including the social insurances. Due to the presence of the legal and operative headquarters in Torino, there is a higher than average number (for the sector) of highly skilled, technical and managerial human resources. The range of financial services available in Torino seems adequate to sustain the processes of development of the real economy and it is particularly vivacious in terms of financial innovativeness for small and medium businesses. But Torino is not a finance capital. It is not so in the insurance sector, nor in the banking sector. However, a series of "technological primacies" won by Torino in the 1990's indicate a greater attention to financial innovation than in the rest of Italy. For example, Torino was the site of emission of the first financial bill of exchange and the first certificates of investment for small and medium businesses. The first telematic discount broker of stock value is Turinese. In terms of local administrations, the City of Rivoli was the first in Italy to publicly emit "Buoni ordinari comunali " (Boc - municipal bonds). As we already know, one of Torino's strong points is the presence of research centers of an international level in the communication technologies sector. Industrial reconversions are a source of preoccupation both in Torino and in Canavese, and also involve, especially in Torino, an ample availability of human resources (in part of young people with a medium-high level of education), potentially employable in non technical financial tasks. The wide pool of computer literate university students is surely attractive for the development of remote financial services (telephone banking and insurance). Enclosed in the association Torino Finanza's almost decade long experience are Torino's strong and weak points as a financial center: an elevated capacity for proposing ideas (from the real estate market for small and medium businesses, to the private financial university, from rating to the futures market on wine) and for stimulating financial innovation. This corresponds to a limited ability for concretizing projects, probably due to the Turinese difficulty of "networking" the existing resources and generating sufficient consensus around projects to allow for their launching, The Turinese stock market closed its doors already in the first half of the 1990's. This was not however a major loss in substantial terms. The success of first rank financial markets such as Edinburgh and regional centers such as Leeds in Great Britain, for a long time without a local stock exchange, are proof of the limited relevance of this aspect. In Torino there is a lack of medium, high and very high levels of education in the economic disciplines with a financial direction. A "Masters in Financial Management" was established only in 1998, by the School for Business Management in collaboration with prestigious foreign universities. Yet the climate seems to be improving. For example, the Turinese insurance companies have recently asked for the creation of a major to make up for a chronic lack of "actuaries." In response, there has been a joint effort on the part of the insurance companies and the Department of Economy and Commerce of the University of Torino, with the coordination of the association of Torino Finance and the involvement of the City of Torino. From this was born a project that will hopefully bring to the starting of a new major in Statistic and Actuary Sciences in the academic year of 1999- 2000. The prospects of finance in Torino The analysis of the points of strength and weakness confirms the absence of important financial deterrents or insurmountable obstacles for development and strengthens the idea of "substantial adequacy when using national standards of comparison" for Piedmont and Torino. The areas of the activities tied to the organization of financial enterprises, both banks and insurance companies, that are showing signs of strong growth are those of the integration between the telephone sectors and the computer sectors. It is predicted that by 2002 in Europe 400,000 operator work places will be created due to the opening of 9,000 new telephone call centers; of these, almost half will be concentrated in the financial sector. In Italy, the phenomenon is at the moment relevant only from a qualitative point of view, even if in 1998 there was a marked growth in interest. A study conducted by the Associazione Bancaria Italiana (Italian Bank Association) among its members shows that more than two thirds of the banks intend to provide telephonic bank services by the year 2000 and that more than half intend to put into place a call center by that time. The possibility of telephonic insurance services has also emerged from the experimental stage in 1998. Theoretically, the choice of location for remote services is almost exclusively motivated by cost considerations and could give rise to an ample dispersion over the territory. In fact, the principal experiences abroad have shown a tendency towards the creation of specialized zones for the attraction of call centers in the financial sector. For example, in Leeds (Great Britain), a city with an industrial tradition and the seat since 1991 of First Direct (the first exclusively technological English bank of the UK), 15,000 people are today employed in call centers for the bank and insurance sectors, which employs a total of 69,000 people. An analogous phenomenon has occurred in Ireland, where a winning mix of advanced infrastructures of optical cables, the availability of qualified human resources, of immediately available spaces and fiscal incentives has attracted the location of almost one third of all European call centers. It is entirely probable that in Italy as well there will be a concentration of support centers for remote finance in those areas that will be able to attract the first significant investors and that will show to possess the conditions of quick, easy and convenient installation. The new tendencies for the spatial organization of financial enterprises can be separated into three spheres: - activities centralized and located in the European financial capitals; - activities centralized and located outside of the financial centers; - activities distributed over the territory. Torino can boast a positive balance of its weak and strong points in reference to its activities which are centralized but located outside of the great financial centers. On the supply side, Torino, alongside Milan and Rome, is the only Italian center in which there are operators which belong to all 30 of the sections which compose the Annuario Servizi Finanziari (Asefi) (Annual record of financial services) 1997/8. The presence of the headquarters of primary banks and insurance companies, briefly described, is almost an anomaly in the European financial landscape, which is characterized by a significant concentration of activities in the financial capitals. In Torino there are human resources with skills that are found only with difficulty outside of the usual financial capitals, in addition to subjects with a real decision- making power and a heightened sensitivity to local development issues. Technological innovation, together with the evolution of payment systems, has lowered transaction costs as well as costs for market access and has made possible new organizational patterns in the production and distribution of services. It has also favored the entry of new operators. In a few years stock exchange bourses as physical sites of transactions have disappeared. The traditional sales structure of financial products is being gradually accompanied by remote services that are possible thanks to the evolution of computer technologies and of telecommunications. In the USA 35% of all stock transactions goes through Internet discount brokers. In Great Britain, one third of all car insurance is sold by telephone which has allowed a 30-40 per cent lowering of costs and an almost 90 per cent reduction of time employed. Technological innovation opens for Torino and its surroundings an unexpected window of opportunity, provided by the possibility of valorizing its concentration of know-how and human resources specialized in the fields of innovation and telecommunications as factors of attraction for the new forms of banking and insurance activities. In this field, Torino has a competitive advantage respect to other cities. Torino can grow as an urban center in which are concentrated those financial activities that can be done outside of the few larger European financial centers. The insurance sector, characterized by few interactions with close professional sectors, is a road for Torino to explore. The prospects for promoting Torino as an insurance pole, which were launched by a stimulus given by the City of Torino, were analyzed by studies sponsored by Torino Incontra. The proposal of placing an "insurance park" within the urban area, modeled after scientific-technological parks, aims to overcome the principal factors of sectorial weakness (overspecialization and insufficient appropriate education/training). This proposal counts on the points of strength of the insurance sector and aims to create "an environment in which a high level of interaction between operators generates better organization and product innovation." The idea of an "insurance park" must be a collective one, mixed (public and private), and coherent with the strategic choices of the Turinese insurance companies. The idea is ready to be concretized, especially in the new sectors of activities such as "teleinsurance." These are activities which, according to realistic predictions, will have a high level of growth in the next 5-10 years and which will be quantitatively significant, also in terms of employment opportunities. Therefore, Torino could emerge as a leader in promoting its territory as an attractive place for the construction of bank and insurance call centers. These could count on a good base (reasonably priced sites, cabled city) and especially on the unique mix of education, research and availability of human resources specialized in technological innovation and telecommunications. The emergence of this new possibility for local development should be encouraged in Torino and its surroundings, which could act as a factor of attraction for non-financial economic activities that use the same technologies. Given the integration of the banking sector with the insurance sector, it is possible that Torino could strengthen its role as a "national bank-insurance center" with a limited ability of attracting international operators. The city could improve its international appeal if it is able to launch specific technological projects that could fit in the larger frame of the planned urban improvements. Almost all of the essential elements to attract call centers are already present in Torino and are strengthened by the overcoming of the educational lacks, which is already in progress. One of the key aspects, given the speed of changes in the financial sector, is the availability of sites that can be immediately exploited and that can be easily reached by public and private transport. A second key aspect is the concrete formation of "localizing/settling packets." A third aspect is its promotion on a national and international scale. 8 URBAN SPACES Torino has a consolidated ensemble of spaces that host activities and services (both for businesses as well as people) on a metropolitan level. The transformation of its economy has created both problems and opportunities. There are cases in which there is an inappropriate use of space and there are situations of underutilization. This is true for the municipal territory of Torino but especially for the vaster area of the metropolitan system. For example, the Castle of Rivoli and the Mandria Park are already fulfilling their potential, while in many other cases (for example, the Palazzina di Caccia in Stupinigi) they could have a more integrated and important role with respect to their current one. The situation of urban spaces in the Municipality of Torino is evolving in the direction of the new City Plan and moving according to the new foreseen changes in public metropolitan transportation. It is necessary to accompany this phase of transformation by introducing strategic elements of development in the valorization of the urban spaces. On the municipal territory it is possible to identify spaces that host special functions: the new Lingotto that replaced the homonymous factory, the Technological Environment Park that replaced the old Teksid steel factory along the Dora River, the doubling of the Polytechnic in the area formerly occupied by the National Railroads Garage, the CNR in Mirafiori, the new Palace of Justice in the place of the ex-military base Pugnani. There are also spaces that host specific activities in the metropolitan area: the Cancer Research Center in Candiolo, the University of Grugliasco, the San Luigi University Clinic in Orbassano, the Castle of Rivoli and the Mandria Park. There is also a ring of integrated malls around the city. The Torino City Plan calls for projects of urban transformation for a surface of 10 squared kilometers, more than 10 per cent of the flat territory of the municipality. Some of these spaces are sites of Urban Renewal Projects that aim to involve citizens and businesses affected by the plan (see map n. 8). Some of these areas are found in outlying parts of the city (Via Artom, Via Ivrea, Corso Grosseto) which means that this project could represent an opportunity to renew a problematic urban fabric. A large part of the surfaces under transformation is going to be included in the project called "Spina" Central Development Backbone a large boulevard with trees that was made possible by the interment of the railroad. "Spina" Central Development Backbone links the main urban industrial areas which have been abandoned and it will be an axis of flow for north-south traffic (as shown in map 8). It will also be a space around which new services of an urban scale and specific central functions can be located. There is also a series of spaces that still remains to be used or fully exploited. They represent a major opportunity and resource for the whole city, not only for the surrounding areas. These are historic buildings and open spaces that are part of the urban cultural resources or they are spaces freed from the closing of businesses formerly contained within them. It is important to note among these spaces, the Cavallerizza complex, the buildings freed by the foreseen move of the courts, while for the metropolitan area, the Reggia in Venaria Reale should be noticed. Among the freed spaces, there are some that have large surfaces (many along the "Spina" Central Development Backbone and others elsewhere, such as the General Markets which will soon move, the ex-custom house of Lingotto, and the Westinghouse) and some others which are part of ensemble of small factories among the houses of Borgo S. Paolo in Torino. There are also urban zones which are not made much of or that need to be remade functional, such as in the case of the area around the "Delle Alpi" Stadium and the area of the Municipal Stadium - the Philadelphia Stadium - the Piazza D'Armi and the area of Piazza Galimberti and the General Markets. The no longer used industrial areas are the territorial residue of the great transformation that took place in the organization of production. If the productive sector has been for some time in a phase of structural transformation, it doesn't seem the urban policies have completely realized it. Industry is often thought of as still governed by a single productive model constituted by a subdivision of interdependent and hierarchically structured sectors. The new industrial organization instead has different spatial needs. The fordist model for the organization of economic spaces was easy to represent. The hierarchy that existed between central managerial functions and peripheral executive functions entailed a rigid division of labor and a polarization of separated elements. Its expansion was related to the metropolitan space through the organization of sub-metropolitan axes that penetrated the outside spaces. It was consequently a radiocentric system characterized by functional links that created the premises for a logistic and functional saturation for the most central areas and for the spread of "diseconomies" in the organization of production. The current transition phase to a new organization model is based upon the spread of local development poles that are autonomous and that tend to build relationships with other poles inside the same horizontal network. The hereto discussed behaviors of businesses clearly show the break down of the productive system from the original nucleus: the formation of subsystems that are internally coherent give way to a wealth of relations that tend to flee from any urban or metropolitan polarizing logic, making the whole the most widespread productive system of the entire metropolitan area. Figure 9 gives a representation of this. The city of Torino has been partly affected these large scale projects and it is not considered as a circumscribable productive system. At the same time, some of its parts have a strategic role for the maximization of the system as a whole. The strategic planning of the metropolitan manufacturing system must understand this underlying logic: contrasted to the centralized model is a model that is able to capture "spontaneous" tendencies occurring in the system and able to fortify them by identifying sites of possible interconnections, which should have the objective of improving the performance of the networks and to innovatively structure the territorial system of production, valorizing the specificities of the identities and the logics occurring in the system as a whole. Torino thus has available important territorial resources that constitute opportunities for attracting investments and for improving the levels of urban quality for its residents and businesses. Such opportunities should be taken advantage of not only to increase the level of investments in the territory but also to increase the urban quality in a wide sense. Until this occurs, two guidelines can be followed. In the first place, it is necessary to put specific projects in relation with each other, in order that the single transformations happen in a coordinated manner and with a strategic vision. For example, the search for new functions for the Italian area '61 should be done in accordance with the kinds of activities predicted to be located in the new Lingotto and in the area that will be freed from the General Markets. In the second place, it is necessary to ensure that the interventions on large areas have a positive impact on the territory, that is that they are seen as urban renewal projects. This aspect is important especially for those containers of specialized functions that are located in the outskirts. The question of renewal of the outlying areas and those urban areas that have particular problems (such as the area of Porta Palazzo and of San Salvario) takes on an emblematic value for any reasoning regarding urban quality in the context of a plan of metropolitan development. The Turinese outskirts are characterized by a widespread amount of public housing, mainly built in the 1970's (result of affordable-popular housing legislation), that is sufficiently supplied with services but is physically run- down due to lack of proper care and upkeep. It is thus necessary to put into effect rapid and widespread interventions of renewal. All of the large-scale renewal projects and all of the policies that aim to involve residents should be strengthened. Private residences present different kinds of typologies and a generally higher level of upkeep, except for the case of private buildings that have been continually lived in by renters and which show levels of deterioration similar or higher to public housing. The major interventions are an opportunity to develop an organic policy of renewal. The most recent Turinese experiences have gone in this direction through the promotion of integrated projects that also uses tools offered by the European Union, such as the participation in networks such as Quartiers en crise and Urban. The City of Torino has launched the program "Special Project for Peripheral Areas- Actions of participatory local development," which by involving in a transversal way different administrative bodies, could obtain good results. The "Special Project for Peripheral Areas" expresses the idea of a polycentric city, where the value and benefits produced by the city are not present only in a few areas, but can be accessed by citizens in several centers within the confines of the municipality. This idea is contained in an embryonic manner in the project "Cento Piazze" which proposed to valorize different places, each endowed with their own specificity and tied in non-hierarchical relations, but rather by synergetic relations capable of valorizing the wealth of the city as a whole. It is necessary that the economic and territorial strategic actions that will guide the usage of spaces in urban Torino and in its metropolitan area capture the idea of the polycentric city and that they are able to also define the role of the outlying spaces as well as those urban ones which are problematic, in such as way as to promote the new city in a homogeneous way. 9 THE OPEN SOCIETY One of the most important contemporary anthropologists gave an interesting definition of the city: a place where you can find one thing while looking for another. In a city we continually have opportunities to meet others and possibilities to experiment situations different from what we are used to. In a brief contact we seldom pass the threshold of mistrust; but the large number of contacts, the variety of these, the comparisons they allow us to make, their randomness that alter our mental maps and put us in relation with information, attitudes, tastes that we didn't know before, all of this increases our opportunities for learning and the probability for new cultural syntheses. It is in this way that the idea of a new product or a new service for the market, of a new musical style or of a new political movement could be born. The possibility to find out something by chance is one of the most characteristic features of urban life, which explains why cities - real cities - have historically always been melting pots of cultural innovation. In the large industrial cities it is difficult to communicate. Groups are far away from each other and often closed within themselves. People do not often associate outside of the sphere composed of family, neighbors and work. In Torino, past studies have confirmed this and common experience shows this to be true as well. One could also add another cultural dimension of the old haughty Piedmont: a sense of privacy. Often, however, we interpret as a sense of privacy what is, in fact, the simple fear of exposing oneself. The "city effect" - the capacity for innovation - is obtained if the society within it opens itself, if both communication and the ability of interacting in different environments is developed. This is why diversity is a resource and inequality is an obstacle. The diversification of Turinese society is rapidly growing, due to the economy and its new forms of organization, to the return of new cultural resources formerly neglected , to new migratory phenomena, and due to the cumulative effect of the innovations already in act. All of this is confirmed by the information and predictions hitherto discussed in this document. Inequalities truly constitute an obstacle: one cannot participate in the innovative interactions if one does not have resources to combine with those of others. This is the reason for the regression of many metropoli that close themselves in separated worlds, at times hostile, in a vicious cycle in which the need for safety increases the division, which in turn induces even a greater need for safety. Tendencies in these directions can be also be found in Europe but they tend to be less strong than on other continents. In an environment that is increasingly unstable and less protected, such as that of the contemporary economy, in which everyone is forced to rely more on their own initiative and autonomy, we can no longer think that people will find their place and contribute to the innovation whole if they are not equipped with a sufficient material and cultural resources. Social inequalities, in this sense, are increasing in the large cities. In order to concisely assess the social inequalities that exist in Torino, we must examine some information. The supply available for cultural consumption is remarkable, as we have seen. One must consider, however, the following table regarding the average consumption of the adult population found by a study done at the end of the 1980's: Movie Theater Never in the last three months 69% Theater Never in the last year 86% Concerts Never in the last year 88% Daily Newspapers None 28% Periodicals None 61% Books None in the last year 53% These statistics are symptoms of a gap between a part of the population with high access to cultural resources and another part, a vast one, that is excluded. Particularly significant is the statistic regarding books: the Turinese percentage corresponds exactly to the natural average. The comparison is thus emblematic of Torino's difficulties: the reading level in a metropolis that is asking efforts of innovation on the part of its population is equal to an average which includes, in a representative sample, the tiniest rural villages. A second statistic regards the percentage of people with a college degree out of the population that is of age to have one. In the various studies conducted after the war, the Turinese percentage was systematically inferior to those of the other Italian metropoli. The most recent findings are not comforting for the future either: the level of high school and university education (percentage of those registered out of 14-29 year old population) is 33.8 in Torino, compared to 37.5 in Rome, 39 in Milan, 37.2 in Bologna and 40.1 in Florence. According to urban data, different social conditions tend to correspond to the center and the periphery. The medium to high classes are distributed on the map of the city in a horizontal band from east - the hills - to west, in the direction of Susa Valley; the working classes are instead roughly found in a perpendicular band that runs from north to south. Dealing with inequality also means dealing with the spatial organization of society within and outside of the city. Certain parts of Turinese society are concentrated in areas where one does not live well, where factors of social disadvantage accumulate. We can say that in these cases we still have unpaid debts to the part of the population that found itself at a disadvantage in the difficult process of leaving behind the old industrial city, and is now facing risks of new marginalization. In order to our understanding of this situation, Table 9.1 shows some indicators that allow for a comparison of the two areas, the first area is among the most disadvantaged and the second is among the most favored. They are two electoral constituencies, which generally have a population of approximately 10,000 inhabitants: zone 40 in Barriera di Milano and zone 26 in the Crocetta. Table 9. 1: Indicators of quality of life in two areas of the city Census zone 40 Census zone 26 (Barriera di Milano) (Crocetta) Unemployed out of active population 20.7 8.05 In search of first employment 11.8 5.76 Illiterates out of resident 2.12 0.4 Housing without heat 9.44 2.75 Source: 1991 Census data. University Social Science Department. There are delicate points regarding the multiethnic city in formation. Torino does not have a very important presence of foreign residents; the last population census (1991) found that the ratio of foreigners out of 1,000 residents was 9.8 in Torino, 17.4 in Rome, 19.4 in Milan, 18.1 in Florence. These numbers are much lower than those of other European countries: one need only think that in France, Germany or Belgium, the numbers are on the average 70-80 foreign residents out of 1,000 residents. The fact remains that in Torino the growth has been rather rapid, a part of immigration has fueled illegal markets, and that it has concentrated itself in a few areas. Problems arise from immigration that need to be dealt with in an efficient and decided manner. It also remains, however, that difference is a value for our future: if we allow the formation of ghettos not only will we have done something unjust but we will also have lost an opportunity. The alternative must be developed within the next few years. The city is not culturally unprepared to face these new challenges. This is proven by the important tradition, especially religious, of social sensitivity and intervention, which renews itself with continuity. Another important tradition that lays out the groundwork for social action is the legacy of the Turinese workers' movement. One of the most significant phenomena of the last years takes shape from these and other matrices: the vibrant development and participation in associations of all kinds: cultural, services to people, for the protection of rights, finding work, environmental education and so on. Sociologists have always thought that a vivacious, free community of associations is the sign of a society that is breathing and growing. 10. THE METROPOLITAN GOVERNMENT SYSTEM Among the European cities that have designed and effected strategic plans, all of them have some form of large- scale government that spreads beyond the municipality. Torino, the first Italian city to adopt the methodology of the strategic planning, does not have a metropolitan government. Such a lack puts the city in a situation of peculiar tardiness both with respect to the other European areas to which it is comparable (for example, Lyon, Manchester, Rotterdam and Stockholm). This is also true with respect to forms of institutional cooperation between municipalities already under way in certain Italian urban areas (Bologna, Florence, Rome). The study of the plan is a precious opportunity to launch a communal reflection in this direction and to make certain choices to constitute a form of local government that can have the same territorial extension as the area affected by the strategic plan and targeted projects. Thus, this chapter concerns itself with the theme of the "metropolitan government," considering it to be a crucial issue to render concrete the possibility of putting into practice those actions that will emerge as most interesting. The promotion of the economic and social development of an area requires the regulation of an administrative government capable of conceiving and putting into practice a unitary strategic plan, as well as capable of finding the necessary financial resources with greater success than the parallel efforts of numerous local entities. During the 1990's there was a push towards the redefinition of the systems of territorial government. One need only remember the law on the regulation of local autonomies (L.142 of 1990), the law on the direct election of the mayor (L.83 of 1993), to the various Bassanini laws. Nonetheless, the effect of these reforms has been until today, inferior to expectations, due to incomprehension among the municipal administrations of the metropolitan areas and to the persistence of not very cooperative relations among the various public agencies (municipal, provincial, regional) as well as between local agencies and the other levels of government. What seems to be missing is a shared criteria regarding the division of tasks and functions, so that the fear of losing one's autonomy and sphere of action no longer exists to hinder cooperative relations. An emblematic case, which can serve as an example, is the deliberation of the Regional Council for the creation of a Conference on services for the Turinese area. It took place in 1995 but not much came of it: the conference never took place, no plan of cooperation among the various municipalities was ever created, nor were chances for discussion and verification of common projects ever set up. In the future, the construction of a metropolitan government can base itself upon some of the positive elements that are today beginning to emerge. First of all, there is a willingness to collaborate on the part of the mayors, especially regarding the more urgent matters that render necessary a wide system of interactions across the territory. The priority is given to the problem of the location of the productive activities, with the consequent attention to the fiscal resources that they produce and the subdivision of the possible environmental costs generated. Secondly, the metropolitan government will have to manage services over a vast area: electricity, water, environmental services and transportation. These are services already partly organized on a metropolitan scale, thanks in part to the processes of reorganization and privatization of the management agencies. A third element of interest to a government of a vast area could be a common policy regarding real estate taxation that weighs on families and businesses with eventual compensations among zones with significant differences in yield. The willingness for cooperation is often subordinated to the adoption of an older model of metropolitan government that is open and flexible, and creates/dissolves alliances according to the common objective pursued at the moment. This is the conception that gathers the most consensus, an organizational shape that can be defined as "functional" or a "variable geometry." Probably, this approach could overcome the excessive rigidity and risks of centralization that exist in the models of metropolitan cities hitherto experimented, without success, in other regions (for example, in Liguria and Veneto). The economic growth of the municipalities in the Turinese area could enable these centers to have greater resources. In the planning of a local government of an intra-municipal scale, it is necessary to keep in mind subjects such as the Chambers of Commerce, universities, agencies, banking foundations, whose administrative organs are constituted by local agencies. The two Turinese bank foundations (S. Paolo and Crt) could soon take advantage of, following the demission of bank agencies, a liquidity of approximately 500-600 billion lire per year, an important part of which can be used for local social and cultural purposes. The financing system is the most problematic nucleus and the presupposition for any discussion concerning the metropolitan government. The revenue of the Turinese municipalities are moving towards a growth of autonomous revenues versus the transfers obtained from the State. The municipal tax on real estate (Ici) is currently the most important source of municipal revenue to which soon will be added other autonomous forms of fiscal revenue such as taxes on stamps, mortgages, land registry, and a part (probably 0.5 per cent) of the Irpef revenues. The aggregate of the autonomous resources will constitute 70 per cent of revenue for the larger Piedmontese municipalities, which will thus take on a growing role of direct tax collector in exchange for services provided to the local population. This corresponds to a decrease in resources obtained from the central State. This decrease is relatively higher and more penalizing for metropolitan cities compared to small municipalities: thus a fiscal problem emerges that could put into question the obtainment of funds for the project of a metropolitan government for Torino. Although the city seems to have suffered less from the reduction of State funds than Rome or Milan, with the new regime of tax transfers (legislative decree n. 277 of 1997) the slash of resources could amount to 12 billion lire annually for twelve years, equal to a reduction of 1.80 per cent. The importance and potential of a metropolitan system are by now clear to national bodies as well as to the European Community, which has amongst its priorities the support of economic competitiveness of the major urban areas as a way to fight social degradation. It would be false and inefficient from the point of view of the attraction of economic resources (European and national) to ignore that the effective urban area of Torino extends beyond the administrative borders of the municipality. In addition, the demolition of obstacles to the transfer of productive factors requires a division of resources and projects on a metropolitan scale, for a stronger and more unified relaunching of the area into global competition. Finally, cultural consumption by residents (which is today very heterogeneous) could find new impulses in the coordination of exhibits and shows and the sharing of libraries, theaters and other cultural resources, also seen in the light of a tourist attraction. The challenge of creating a system of metropolitan government for the Turinese area must also be able to count on a modern project-making able to elaborate those necessities for flexibility that are inherent in a structure of such scale and complexity. It is a matter of exploring the possibilities for aggregation, on a voluntary basis, of different groups of municipalities (with the eventual participation of other public and private subjects) to face specific problems. It is necessary to explore the degree of flexibility that the new frame of local autonomies will give to actions of institutional engineering directed towards the promotion of local development that knows how to make the most of the specificities of the Turinese metropolitan area. The decision to elaborate a strategic plan could be an appropriate occasion to define and put into effect, as a first step, an "association for the metropolitan area of Torino." The goals of a first body of metropolitan government could be included in the common interest of solving specific problems of a metropolitan scale (firstly, transportation), in the decision to play a larger role in the attraction of resources, and in the purpose of valorizing common resources (for example, in the cultural, historic, tourist, and commercial spheres). 11. TOWARDS THE PLAN The information contained herein will be presented at the Forum for Development at the beginning of December where the next steps to be taken will be decided upon. This journey has made possible the identification of Torino's strong and weak points in its new and difficult context as a city in competition. The hidden problems as well as the resources that are rooted in the history of the city have been made visible. Torino was in this century an industrial capital and even further back in time it was a political capital of modern Europe in formation. It is from these two traditions that today we find the resources necessary for the relaunching of the city: - the technical-industrial sector constitutes a solid competitive advantage, that has the potential to be developed in new directions as well; Torino can continue to be a city of doing and of know-how, where the know- how orients renewed productive processes; - the cultural, civic, artistic, and professional heritage of the old capital is merely awaiting to be made the most of to make the Torino of tomorrow an Italian metropolis of a European scale, a real city in terms of quality of life, capacity of attraction, directive functions, and innovative push. The experience garnered form international comparisons shows that, given the resources available, these two objectives are possible. In order to be carried out however, they require a aggregate of coordinated, speedy, and decided actions. Keeping in mind the points of strength and weakness that have emerged during the diagnostic phase, the Advisory Board suggests nine essential strategic axes along which to develop ideas for interventions. 1. Infrastructural networks A dynamic and attractive city must guarantee efficient connections to the rest of the world and within its interior. Sectors that are involved are: high velocity trains, metropolitan, connections with international airport hubs, metropolitan train system, wide band telematic connections, intelligent structures, interconnections between local and international networks, computerized management of transport, and intermodalities. 2. Economic potential: functions, places, services Torino has a crucial competitive resource on an international scale constituted by its industrial and technical tradition, that must consolidate and open itself in new directions. The axis regards all of the strategic aspects related to the system of productive, service, and financial firms and to factors of attraction for capital and businesses. 3. Cultural matrix A vibrant city has high levels of cultural production and consumption. Its cultural tone is given by the ample diffusion of resources among the entire population. Particularly important matrices are the theater and music complexes and seasons, museums and exhibitions, publishing, and the system of library and archives. 4. The skills system The most vivacious cultures of the future, even in the economic field, will be those capable of hybridization. The cross-fertilization between the humanistic and technological heritages can be the winning card to reach an important position internationally on the innovation front. Involved in this are all the sectors of research and education (of all levels). 5. The tourism-cultural-commercial system Torino is a city full of potential for tourist attraction because it has resources in the cultural, commercial, religious, convention, wine and food, and sports spheres. Putting this potential into practice requires the promotion of investments and the putting in connection with each other of the initiatives of various public and private subjects, in a regional context. 6. Urban quality A city where people live well is also a city sure of itself, more open to the new and to the rest of the world. Interventions regarding the improvement of quality of life deals with issues such as: the physical environment, health, safety, sports, leisure activities, urban spaces, architectural and landscape quality, meeting places, places for diversion and shopping, and public and private services used in daily life. 7. The open society A city that has strong development policies produces wealth and employment opportunities but international experience shows that there are also risks of internal imbalances and problems of integration. Determined action must be taken to guarantee a widespread access to the cultural and material resources which allow everyone to take advantage of opportunities and to participate in the game of innovation. Starting from what is already being done, the forms, subjects, and resources needed can be identified and coordinated to form efficient interventions. 8. International networks of cooperation An international metropolis needs its own "foreign policy" that involves the various public and private subjects that operate in the world. Torino must be more visible, it must be present at the level of the European Union to promote its own interests and projects, to candidate itself as seat of international organizations, to connect itself with other cities (beyond the border or even geopolitically distant) with which it shares prospects and interests, and to strengthen its presence in the networks of international cooperation in order to exchange experiences, insights, to promote common projects, and to create synergies and complementarities. 9. The metropolitan government system No European city that has adopted a strategic plan has thought of it merely within the limits of its municipal borders. This is the presupposition for imagining and bringing about an efficient plan that is in the interests of the members of an emerging metropolitan community. The construction of a plan can be an opportunity to search for forms of systematic collaboration in the framework of the existing laws, anticipating also the development of national legislation. For each axis, a work group will be created. The work groups - composed of representatives of civil society and spokespeople of the Administration - will be headed by a president assisted by a coordinator that will act as an intermediary between the work group and the coordinating committee. At the end of the cycle of meetings, it is expected that the president is able to verify if there is a sufficient consensus on a certain number of actions, which are coherent amongst themselves, to pursue as operative goals of a strategic line. For each action, described and justified, the stages and deadlines for its concretization will be established; the public and private subjects that in different ways will contribute to its realization will be identified; an evaluation of the financial resources necessary and ways of obtaining them, eventually with unitary action, will be submitted; and the target groups will be identified, that is those economic and social sectors that will derive benefits. The documents prepared by the groups will then be passed on to the Advisory Board who will evaluate their coherence and will re-elaborate an all-encompassing draft of the strategic plan which will then again undergo a public evaluation. In this way the process of the pragmatic construction of the Plan will continue, step by step, according to the timetable of the project.