Download A New Approach to Tech-Based Economic Development

Ontario Commercialization Network
A New Approach to Tech-Based
Economic Development
November 24, 2006
Ministry of Research and Innovation
1
Overview
•
MRI Commercialization Programs (Finance, Skills and Technology Gaps)
•
Goal of Ontario Commercialization Network (OCN)
•
OCN Model
•
OCN Hub (MaRS and OCE)
•
Sector Innovation Networks
•
Knowledge and Technology Transfer Networks
•
Regional Innovation Networks
•
Lessons Learned
Ministry of Research and Innovation
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Addressing the Pre-Commercialization Finance, Skills and Technology Gaps
Addressed via ORIC* Efforts
Financing Gap
Technology Gap
Ontario
Research
Fund
(Research
Institutions)
$31.4
Ontario
Research
Comm.
Program
(Tech
Transfer)
RIN /
OCN
Program
$29M
Investment Accelerator Fund
(pre-seed)
Angel/Seed
Stage
VC
$17M
Business Mentorship and
Entrepreneurship Program
$90M
Venture
Capital
(seed stage
$1-5 M)
Early Stage
Financing
($5 -15M)
Engineering
Manufacturing
Early
Production
Later Stage
Financing
($100 M +)
Global
Markets
Skills Gap
Fundamental
Research
Intellectual
Property
Market Needs
Analysis
R&D Project
Lab Prototype
Sales
Product Strategy/Early Management
*Ontario Research & Innovation Council
Ministry of Research and Innovation
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Northern Ontario
Ottawa
N
W
Ontario
Commercialization
Network
E
S
Peterborough
Eastern Lake
Ontario
York
Western
GTA
Toronto
Guelph/Waterloo
Golden
Horseshoe
London
Sarnia
Chatham
Building a Commercialization Ecosystem
Windsor
Ministry of Research and Innovation
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The Ontario Commercialization Network
The goal of the OCN is to build an efficient and effective
commercialization network / “ecosystem” that will:
– Have both a regional and sectoral focus
– Actively engage the private sector to support the flow of capital (financial and
intellectual)
– Use a market driven and client focused approach
– Develop a highly networked and collaborative community of commercialization
stakeholders (“the ecosystem”)
– Improve transfer of knowledge and technology to the private sector to capture
the benefits of investments in R&D
– Provide more efficient and effective service delivery system to support
technology-based entrepreneurs, start-ups and SMEs
– Build an entrepreneurial culture
Ministry of Research and Innovation
5
International Linkages
Provincial & Federal Linkages
OCN Model to support Tech-based Economic
Development
Provincial
Innovation
Network
Sector Innovation
Networks
Knowledge and Tech Transfer
Networks
Regional Innovation Networks
Municipal & Regional Economic Development
Ministry of Research and Innovation
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Provincial Innovation Network: The “Hub”
MaRS:
•
MaRS connects the communities of science, business and capital to
create a more efficient commercialization marketplace.
•
The MaRS community is built through co-location, catalytic programs
and services, and structured networks.
•
The MaRS community is physically anchored in the MaRS Centre and
extends virtually through the MaRS Portal and MaRS Networks.
•
MaRS delivers commercialization programs and services focused on
building a pipeline of globally significant companies.
Ministry of Research and Innovation
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Provincial Innovation Network: The “Hub”
OCE Inc.
•
Support research: OCE invests in industrially relevant research in
Ontario’s universities, colleges and research hospitals.
•
Support commercialization: OCE initiatives are designed to move
technologies to the marketplace through technology and market
assessment, intellectual property protection, prototype development,
and pre-seed funding to establish start-up companies.
•
Support development of talented people: OCE activities focus on
training and developing the next generation of Ontario innovators and
entrepreneurs.
Ministry of Research and Innovation
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Sector Innovation Networks (SINs):
•
SINs are not-for-profit organizations that have a strong sector focus
with provincial scope and capacity to deliver commercialization and
other expertise
•
Build the knowledge base on the sector -- researchers, R&D
infrastructure, companies, etc.
•
Identify global strengths and where these strengths lie within the
provincial landscape
•
Develop sector-based innovation and commercialization strategies
•
Implement commercialization programs and services aligned with the
“the hub” of the OCN
•
Facilitate linkages and build networks -- science, industry and capital
with a sector focus
Ministry of Research and Innovation
9
Knowledge and Technology Transfer Networks
•
Knowledge and Technology Transfer Networks as primarily regionally
based and link multiple institutions (universities, research hospitals and
colleges) under a single network
•
The primary purpose of the networks are to share resources and align
policies and procedures
•
The networks will incorporate private sector input into the tech transfer
process
•
The networks will make it easier for the private sector to access
resources and technologies (IP)
•
Knowledge transfer activities primarily involve linking students and
faculty to industry driven commercialization projects (technical and/or
business related)
•
A provincial network is being developed where “industry experts” will
provide support to all of the tech transfer networks across the province
Ministry of Research and Innovation
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Regional Innovation Networks (RINs)
• RINs are a regionally based, multi-stakeholder, not-for-profit
organizations driven by the private sector
• RINs serve as the foundation of the commercialization ecosystem
(“the OCN”) to:
– Identify a region’s comparative advantages
– Establish a vision and mission for the future
– Identify and align commercialization and other economic development
resources available at the regional level (commercialization roadmap)
– Develop and implement programs and services to address gaps as part
of an annual implementation planning process
– Create a focal and entry point for clients to access commercialization
and other resources at the regional, provincial and federal levels
Ministry of Research and Innovation
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Ontario Commercialization Network
Implementation Framework
Business Mentorship and
Entrepreneurship Program
Researchers
Linkages
to Resources
Proactive
Outreach
OCN
Entrepreneurs
• Client
Diagnostic
& Coaching
OCN
HUB
RIN
Gateway Web
Portal &
Client Management
System
• Linkages
to regional
resources
&
programs
Research
Institutions
& Tech
Transfer
Office
Start-ups
Value
Proposition
To
Customers
SMEs
MNEs
Investment Accelerator Fund
Accelerating Deal Flow Across the Network
Ministry of Research and Innovation
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Regional Innovation Network Model
• MNEs
•SMEs
• Start ups
• Entrepreneurs
• Researchers
Economic
Development
Organizations
Core Economic
Development Activities
RINs
(diagnostic service)
Networking & Linkages to
Regional Resources
Expansion &
Retention
International
Linkages
Linkages to
Commercialization
Resources
Strategic
Alliances
(Companies &
Researchers)
Investment
Attraction
Export
Development
Technology
Adoption
Angel Network
Provincial
Commercialization
Program & Services
(expert advice)
Commercialization
Market /
Competitive
Intelligence
Investment
Technical /
Technology
Business
Mentor
“Creating New Economic Opportunities through Collaborations”
Ministry of Research and Innovation
13
Regional Innovation Networks
1.
Ottawa Centre for Research and Innovation (OCRI)
2.
Eastern Lake Ontario Regional Innovation Network
3.
Greater Peterborough Region DNA Cluster
4.
BioDiscovery Toronto
5.
Western Toronto Greater Area Convergence Centre
6.
York Biotech
7.
Golden Horseshoe Biosciences Network
8.
Guelph Partnership for Innovation
9.
Waterloo Research and Technology Park Accelerator and
Communitech
10.
London Regional Innovation Network
11.
Southwestern Ontario Bioproducts Innovation Network
12.
Northern Ontario Commercialization Initiative
Ministry of Research and Innovation
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Lessons Learned
1.
Tech-based economic development requires a detailed study / plan
and community development process involving local stakeholders to
identify strengths and weakness within the region.
2.
Research institutions can help breakdown municipal boundaries and
create regional innovation systems (networks). Typically these
systems are not aligned with municipal boundaries.
3.
Research institutions can help drive the planning process, but it is
critical to transition the process to be more industry driven when the
process moves from planning to implementation.
4.
Cluster theory useful as an analysis tool, but has limited applicability to
the Ontario landscape as an implementation tool or model.
Ministry of Research and Innovation
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Lessons Learned (cont’d)
5.
Regional innovation system (network) model seems to have a number of
advantages over the cluster model. These advantages include:
 Better alignment with current technology trends re: technology
convergence
 Regional innovation systems (networks) can work in smaller
regions and can result in beneficial collaborations between urban
and rural communities
 Private sector investment aligned with technologies not industry
sectors. “Hot” technologies such as sensors cross many sectors
such as environmental technologies, energy technologies,
advanced materials, etc.
 Business issues, for the most part, do not vary by industry sector,
thus business support infrastructure at the regional level can be
“generic”
Ministry of Research and Innovation
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Lessons Learned (cont’d)
6.
RINs need a clear vision and mission, but need to take incremental steps
to achieve the desired outcome. Trying to “leap frog” to a new paradigm
has a higher chance of failure.
7.
It is important to “anchor” regional innovation systems (networks). For
Ontario, MaRS and the Ontario Centres of Excellence (OCE) are
anchoring the RINs and SINs and providing a focal point to support
collaborations across the OCN and implement provincial programs.
8.
Inter-RIN collaborations are important but need to be led by an
independent organization such as a sector innovation network (SIN). For
example, the Health Technology Exchange (HTX) works closely with a
number of RINs focusing on medical devices as an area of strength.
9.
The OCN can be viewed as an “ecosystem”. An ecosystem can be
defined from a business perspective as a complex set of relationships
and whose members benefit from each other's participation via symbiotic
relationships. Its critical to have an “honest broker” to manage the
relationships in the early stages.
10. It critical to learn and adapt as required to keep the “ecosystem” in
balance.
Ministry of Research and Innovation
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