Published on November 16, 2007
Research-Industry Partnerships: Research-Industry Partnerships A long term Strategic Investment for the Corporation and the Individual Outline : Outline Characteristics of a “Partnership Culture”. Structure approach to avoiding pitfalls of collaborative research. Funding options on route from ideas to market. Case studies of successful partnerships. The Essence of Successful Research-Industry Partnerships: The Essence of Successful Research-Industry Partnerships Integration of university/corporate/ community resources to address economic and social issues of regional, national and global concern. Creation of vibrant university R&D base. Outcomes driven R&D programs with viable financial and market support and quality outputs. Broader and enhanced input into u/g and graduate development programs. Characteristics of a Partnership Culture: Characteristics of a Partnership Culture Relationships are more important than projects and require: commonality of aspirations, mutual respect and understanding, complementary skills and expertise, time and resource commitment, shared development ethos, collaborative management. Avoiding the Pitfalls: Negative Myths : Avoiding the Pitfalls: Negative Myths Loss of academic freedom. Dominance by short term industry views. Excessive management requirements. Low quality R&D outputs, Unreasonable confidentiality and IP requirements, Restrictions on student involvement. A Structured Approach to Successful Outcomes: A Structured Approach to Successful Outcomes Avoiding the Pitfalls Building a Relationship: Large or Small: Building a Relationship: Large or Small Analyze information on target sector, participants and market dynamics Identify key participants, strategic technology and market positioning Funding to identify economic/ technological drivers in sector and to engage sector value chain participants in identifying opportunities Initiate small scale consulting/student projects Develop strategy for collaboration and identification of long term projects Develop long term strategic relationship and portfolio of projects Large Small Creating a Partnership Culture: Creating a Partnership Culture Recognition that the role of the university is: To generate, disseminate and implement new knowledge. Operate within the intellectual knowledge value/supply chain of the partners. To carry out all aspects of the project in collaboration with the partners. Implementing a Partnership Culture: Implementing a Partnership Culture Collaborative project management with supportive processes, systems and communications. Joint analysis of technical/business needs involving relevant elements of value chain. Joint project formulation and planning. R&D plan with agreed responsibilities, goals, milestones, stage gates and outcomes. Agreed IP and commercialization strategy. Recognition of Distinctive Phases in Successful Projects: Recognition of Distinctive Phases in Successful Projects Market Entry Concept Development Project formulation Intellectual Platform Development Proof of Concept Prototypes; Field Trials Value Proposition Outputs Requirements of Project Phases: Outputs Requirements of Project Phases Project Phase: Project formulation Intel. Platform Dev. Proof of concept Prototype/field trial Value proposition Each phase requires different partner input Output: Operational R&D plan IP/Publications Commercial strategy Product/Process specs Business Plan Each output requires different management Management of Project Phases Towards Market Entry: Management of Project Phases Towards Market Entry Increased emphasis on achievement of R&D milestones and reassessment of goals. Continuous commercial/market input. Effective project management of outputs. Effective management of IP portfolio. Ongoing technical and financial assessment of the investment proposition. Summary: Partnership Cultures: Summary: Partnership Cultures Successful research industry partnerships require: Commitment of time and resources. Recognition that relationship building and management is as important as the individual projects. Research-Industry Partnerships : Research-Industry Partnerships Funding of Project Phases Research-Industry Partnerships: Funding Options: Research-Industry Partnerships: Funding Options ARC Discovery Smart State Partnership Alliances ARC Linkage Smart State Research-Industry Smart State National-International AusIndustry Commercial Ready AusIndustry COMET Market Entry Concept Development Market Australian Research Council: Australian Research Council Discovery grants for “new knowledge” R&D. Industry partner participation with no contributions or IP rights. Linkage grants for “new knowledge applications” R&D. Industry partners to make matching contribution for negotiated IP rights. Smart State Innovation Funds: Smart State Innovation Funds Partnership-Alliances Research-Industry Partnerships National-International Alliances Smart State Matching Funds: Smart State Matching Funds Matching funds may be in cash or in-kind. Cash may include the salary costs of dedicated researchers who are employed on the project. In-kind includes operational support, provision of facilities and salaries and on-costs on non-dedicated staff. Partnership-Alliances: Partnership-Alliances Funding for developing university/industry strategic alliances and collaborative R&D proposals. Funding to $100K, with matching cash contributions. Outcome include competitive ARC-Linkage, Smart State funding proposals. Research-Industry Partnerships: Funding Options: Research-Industry Partnerships: Funding Options ARC Discovery Smart State Partnership Alliances ARC Linkage Smart State Research-Industry Smart State National-International AusIndustry Commercial Ready AusIndustry COMET Market Entry Concept Development Market R&D Plan Intensive Business Plan Intensive Research-Industry Partnerships: Research-Industry Partnerships Funding of university/industry collaborative projects. Product/process/systems developments with prospects of commercial/social returns in four year time frame. Funding of $200K to $2M over three years, with matching cash contributions. National-International Alliances: National-International Alliances Funding for collaborative projects that build the State’s national and international alliances in key economic/social sectors. To support participation in CRC, ARC-COE programs, collaborative activities with national and international research agencies. Funding of $200K to $2M over three years, with matching funding including 25% national or international funding. AusIndustry: Commercial Ready: AusIndustry: Commercial Ready Supports R&D, proof of concept and early stage commercialization and collaboration between industry and research institutions. Provides funding to companies for product, process and systems development. University participation as licensors of IP and/or R&D contractors. Funding from $50K to $5M. AusIndustry: COMET: AusIndustry: COMET Supports development of business plans, market research and IP management. Provides funding for spin-off and early growth companies. University participation as owners or licensors of eligible companies. Funding up to $64K. Shortcomings in many Applications: Shortcomings in many Applications Failure to follow format in addressing issues on a sectional basis in proposal. Inadequate description of R&D program. Failure to clearly articulate the innovation and significance of the program. Inadequate business/commercialization plans and IP management. Token industry partner support. Summary: Funding: Summary: Funding The beauty of the ideas needs to come across with blinding clarity in the first two paragraphs of the proposal. All selection criteria need to be addressed in detail. The most appropriate funding option should be selected. Case Study: Engaging an Industry Sector: Case Study: Engaging an Industry Sector Development of Large Collaborative Project Wear Resistant Materials: Wear Resistant Materials Analyze information on target sector, participants and market dynamics Identify key participants, strategic technology and market positioning Partnership-Alliance Program funding to identify economic/technological drivers in sector and to engage value chain participants in identifying opportunities Develop long term strategic relationship and portfolio of possible projects Research-Industry Partnership Program funding for initial project. New Generation Wear Resistant Materials: New Generation Wear Resistant Materials Strategy: To broaden base of R&D activities by utilizing existing competencies and research strengths to engage a new industry sector. To collaboratively identify market dynamics, technical and economic drivers of improved competitiveness and relevant R&D requirements to address key issues. New Generation Wear Resistant Materials: New Generation Wear Resistant Materials Operational Plan: Obtain Partnership-Alliances funding over 18 months to review business/technical opportunities for Queensland ferrous component manufactures servicing the minerals and transport sector. Involve industry association and 30 companies in discussions, workshops, operational and market reviews and develop relationships with key participants. New Generation Wear Resistant Materials: New Generation Wear Resistant Materials Outcomes: Identification of key economic/technical drivers and market requirements in report to the industry. Consortium formed of industry association, two national market leaders and 13 Qld-based SMEs to address identified materials, product performance, production and environmental issues. Collaborative R&D program initiated supported by >$3M from partners and Research- Industry Partnership Program for initial three year period. New Generation Wear Resistant Materials: New Generation Wear Resistant Materials Lessons: Relationships are a precursor to projects. A project champion with scientific/industry credibility and time commitment is needed. R&D outcomes are critically dependant on the thoroughness of project formulation. Successful collaborative projects require structured insights/inputs and participation from all partners. Case Study: Engaging an Industry Sector : Case Study: Engaging an Industry Sector Starting Small The Magnesium Engine Block: The Magnesium Engine Block The Idea: Initial exploratory research by post-doctoral fellow over a 6 month period Concept Development: Ph.D thesis on mechanisms of nucleation by CRC P/G student Alloy Development Project: Funding by initial industry partner and CRC to develop Mg alloy suitable for automotive engine Product Development: Engage global value chain in development of Mg engine block, with collaborative value chain industry funding Product Evaluation: Engage independent authorities and global OEMs in assessment of product performance, with collaborative industry funding The Magnesium Engine Block: The Magnesium Engine Block Strategy: To develop basic competencies and technological platform for the development of high performance magnesium alloys. To back individuals with ideas. To build strategic alliances in global value chains. Progressively manage the project against outputs and the achievement of stage gates. The Magnesium Engine Block: The Magnesium Engine Block Operational Plan [in retrospect]: Initial 6 month exploratory project by P/Doc. Ph.D study on grain refinement. Collaborative Mg alloy development team formed. Prototype engine design with industry partner and European design house. Trial engine batch of manufactured in UK. Test bed evaluation by European agency. Consortium approach to automotive OEMs. The Magnesium Engine Block: The Magnesium Engine Block Outcomes: Fully developed technology package with independently assessed product performance. Mg engine blocks installed by Volkswagen in six VW Loppos and satisfactorily completed 65,000Km of European road trails in range of operating environments. Engine block alloy selected for USCar project sponsored by GM, Ford, Chrysler and US Government. The Magnesium Engine Block: The Magnesium Engine Block Lessons: Back those with ideas and passion. Do not resile from starting small and thinking big within a strategic framework. Build relationships and consortia to meet the changing project requirements. Exercise close project and IP management. Case Study: Case Study Evaluating the Investment Potential of R&D Outcomes and Developing a Business Plan Rail Braking Systems: Rail Braking Systems Proof of Concept: ARC Linkage funding to develop original idea. Operating Prototype: Industry partner and CRC funding to develop technical solution Evaluating Investment Potential: Research-Industry Partnership funding for spin-off company and industry partners to quantify technical and economic benefits Rail Braking Systems: Rail Braking Systems Strategy: To evaluate the investment potential and operational returns from a new braking system for heavy haul rail freight developed to “proof of concept” and working prototypes within CRC. To carry out field assessments of operating reliability/costs and investment propositions in busy mine to port rail corridors. Rail Braking Systems: Rail Braking Systems Operational Plan: Heavy initial capital investment required for installing integrated braking systems on 100-200 wagon coal trains for field trials. CRC project partners form joint venture with major global rail brake company. Research-Industry Partnership support for >$3M project involving rail company, braking systems manufacturer and research groups for commercial assessment leading to licensing agreement. Rail Braking Systems: Rail Braking Systems Lessons: Different mixes of partners and funding regimes required as project progresses from idea to market. Concurrently, emphasis changes from technology push to market pull to prove the viability of the investment proposition. Need for effective project management systems. The final outcome is a business plan for investors that is technical and financial facts-driven. Summary: Summary Research-Industry Partnerships are a cultural mind set, leading to a long term strategic positioning of the research group, rather than just a source of intermittent funding.