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South-South Cooperation for South-South Cooperation for Technology Transfer and Development Technology Transfer and Development of Small and Medium Enterprises: of Small and Medium Enterprises: VIT VIT

ExperiencesExperiences

South-South Cooperation for South-South Cooperation for Technology Transfer and Development Technology Transfer and Development of Small and Medium Enterprises: of Small and Medium Enterprises: VIT VIT

ExperiencesExperiences

Prof. D.P. Kothari, Prof. D.P. Kothari, FNAE, FNAScFNAE, FNASc

Vice Chancellor, VIT University, VelloreVice Chancellor, VIT University, VelloreFormer Director (I/C), IIT DELHIFormer Director (I/C), IIT DELHI

Former Principal, VRCE, NagpurFormer Principal, VRCE, Nagpur

Prof. D.P. Kothari, Prof. D.P. Kothari, FNAE, FNAScFNAE, FNASc

Vice Chancellor, VIT University, VelloreVice Chancellor, VIT University, VelloreFormer Director (I/C), IIT DELHIFormer Director (I/C), IIT DELHI

Former Principal, VRCE, NagpurFormer Principal, VRCE, Nagpur

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VIT – A brief history

Founded in Founded in 19841984 as as Vellore Engineering College (VEC),Vellore Engineering College (VEC), a Private college affiliated to the University of Madras, a Private college affiliated to the University of Madras, with with three undergraduate programmesthree undergraduate programmes and an intake and an intake of of 180180 students students

Blossomed into a Postgraduate institution in Blossomed into a Postgraduate institution in 19951995

Conferred Conferred Deemed University statusDeemed University status by Ministry of by Ministry of Human Resource Development, Government of India Human Resource Development, Government of India and renamed and renamed Vellore Institute of TechnologyVellore Institute of Technology in in 20012001

Renamed as Renamed as VIT UniversityVIT University (u/s 3 of UGC Act) in (u/s 3 of UGC Act) in 20062006

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Accredited by the National Board of AccreditationAccredited by the National Board of Accreditation (NBA)(NBA) inin 19981998 andand 19991999 with highest grade (with highest grade (A Grade)A Grade)

First educational institution in India to be awardedFirst educational institution in India to be awarded ISO 9002ISO 9002 CertificateCertificate by the Det Norske Veritasby the Det Norske Veritas (DNV)(DNV) of the Netherlands inof the Netherlands in 19991999

Accredited by the Accredited by the National Assessment and Accreditation Council (NAACNational Assessment and Accreditation Council (NAAC ) in ) in 20032003

Accreditation

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• Programmes of VIT accredited by the Programmes of VIT accredited by the Institution of Engineers, India Institution of Engineers, India [IEI][IEI]

• First educational institution in India accredited First educational institution in India accredited by theby the Institution for Engineering and Institution for Engineering and TechnologyTechnology (IET)(IET) and Energy Instituteand Energy Institute (EI)(EI) both fromboth from UKUK inin 20052005 with our degrees with our degrees equivalent to theirs up toequivalent to theirs up to 20102010

• Tata Consultancy ServicesTata Consultancy Services accredited VIT as anaccredited VIT as an A-Grade InstitutionA-Grade Institution

Accreditation

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India Today-ACNielsen-ORG-MARG India Today-ACNielsen-ORG-MARG

Survey: Survey:

All India 14All India 14thth rank in 2007 rank in 2007

All India 10All India 10thth rank in 2008 rank in 2008

Both inBoth in 20072007 andand 2008,2008, VIT University VIT University

was rankedwas ranked firstfirst among theamong the Private Private

Engineering InstitutionsEngineering Institutions in the countryin the country

Recognition

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Introduction

UN created special unit for SSC in late 1970’s – academic UN created special unit for SSC in late 1970’s – academic research and voluntary cooperative efforts between research and voluntary cooperative efforts between developing countries to promote S-S trade and investmentdeveloping countries to promote S-S trade and investment

Refers cooperative activities between developing countriesRefers cooperative activities between developing countries

Developing technologies, services and trading relationshipsDeveloping technologies, services and trading relationships

Micro, small and medium enterprises (SMEs) – engine of Micro, small and medium enterprises (SMEs) – engine of economic growth and for promoting equitable developmenteconomic growth and for promoting equitable development

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Introduction

SSC contributes to economic advances in Africa, Southern Asia and South America

SSC lacs the overtones of cultural, political and economic hegemony

Lot of differences within the group of developing countries – think of cooperation among the developing countries – giving rise to the concept of SSC

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SSC for Technology Transfer

Author’s association with SAARC Author’s association with SAARC countriescountries

Personally visited SAARC countries - development of local engineering colleges like BUET in Dhaka, Kathmandu Engineering College, Nepal and University of Engineering and Technology, Lahore, Pakistan

VIT University also has mutually beneficial working association with several academic institutions / universities in SAARC countries

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SSC for Technology Transfer

Necessity of Technology TransferNecessity of Technology Transfer

Definite goal – converting the laboratory Definite goal – converting the laboratory information into a commercial productinformation into a commercial product

Sharing of technical informationSharing of technical information

SSC to address wide range of issuesSSC to address wide range of issues

Need for concerted action – natural disastersNeed for concerted action – natural disasters

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SSC for Technology Transfer

Role of UNRole of UN

Promote SSC – policy support and capacity buildingPromote SSC – policy support and capacity building

FAO, UNIDO, UNDP and WHO – proper south-south FAO, UNIDO, UNDP and WHO – proper south-south policies and activitiespolicies and activities

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SSC for Technology Transfer Bandung Conference in 1955 – pioneering major south-south

conference of developing countries

Non-Aligned Movement (NAM) and the Group of 77 (Doha, 2005)

Working Group on Technical Cooperation among Developing Countries (TCDC) created in 1972 by UN General Assembly

SAARC formed in 1985

ASEAN in 1967

stepping stone towards bringing nations into a framework of cooperation

Bridge the economic gap between developed and developing countries

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SSC for Technology Transfer

VIT University’s contribution to the SAARC countries

Creation of knowledge hubs in the form of human resource and opening up the

avenues for SSC for exchange of technology

Separate International Office functioning since 2002

Admitted students from various countries abroad

MoU with SINO-INDIA Education and Technology Alliance

Around 400 Chinese students to take education in disciplines like computer and management

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SSC for Technology Transfer

Role of the Centre for Disaster Mitigation & Management (CDMM) • Established on 9th January 2006 by VIT University • Quarterly e-Newsletter on Natural Disaster & Development – the first of its kind in Asia, with an international circulation of 6000, published under the aegis of Centre for Non- Aligned and other Developing Countries

• First Institution in India to produce Self-Education CD-ROMS on Earthquakes, Cyclones, Landslides and Lightning

• Major contribution to Planning Commission in drafting of Chapter on Disaster Management for the XI Five Year Plan

• Major contribution to NDMA Team for Drafting of National Guidelines on Earthquakes and Landslides

• CDMM is the only Centre in India to have so far contributed papers to every issue of National Journal on Disasters and Development

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SSC for Technology Transfer

• CDMM participated in International Roundtable meeting on Lighting Protection for Non-Aligned Nations in Sri Lanka in 2007 – SSC information exchange discussed

• CDMM has authored Peer-Reviewed Book on Retrofitting of Structure- Foundation Systems

• CDMM is among the ten institutions in India to be awarded a project by Prevention Consortium of Geneva

• conducted Roundtable meeting on landslides in 2006 to discuss recurrent problems on landslides in SAARC countries – Vellore Declaration had been brought out

• conducted International Roundtable meeting in 2007 for Non-Aligned and other developing countries to discuss about the natural disasters among these countries – Vellore Resolution had been brought out and signed by the delegates of the member countries

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Small and Medium Enterprises (SMEs)

• Prominent approach to sustainable development

• Depending on imported technical skills

• Dependency reduction using Universities / Institutions facilities

• Awareness creation using institutional networks

• IIT Delhi• BITS, Pilani• VNIT, Nagpur• NIT Kurukshetra• VIT University

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Small and Medium Enterprises (SMEs)

Significance of SMEs contribution

Micro and Small Enterprises (MSEs)

• 90% of total enterprises in most of the economies

• generating the highest rates of employment growth

• major share of industrial production and exports

• 33% of the total export of the country and 39% of the manufacturing output

• MSE sector employs 31 million persons spread over 12.8 million enterprises

• MSE sector almost 4 times higher than the large enterprises

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Establishing and Managing Entrepreneurship Clubs (E-Clubs) in

Southern India

• Ministry of Micro, Small and Medium Enterprises (MSME), Government of India sanctioned Rs. 2.5 crores for establishing this E-Clubs.

• VIT University has become the first University in Southern India to undertake this project

• MSME Development Institute, Chennai and VIT signed MoU on July 2007

• MSME and VIT University establishing around 200 E-Clubs in all the five Southern States of India

• First of such clubs are already working at Vellore and Coimbatore

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Establishing and Managing Entrepreneurship Clubs (E-Clubs) in

Southern India

Expected outcomes:

• Provide solutions for common problems

• Enhancing the productivity and competitiveness of entrepreneurs

• Capacity building of micro and small enterprises

• Facilitate substantial economic of scale

• Provide management training

• Provide incubator services

• Representation to industry associations / other agencies

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Support to SMEs through Business Incubation at

VIT Technology Business Incubator (VIT-TBI)

• Pre-incubation Services

• Established three product innovation centre with the support from Department of Science & Technology (DST), Government of India

• Grant from the infoDev (the World Bank Group) of USD 0.15 million

• Entrepreneurs access to the VIT University facilities through VIT-TBI

• Midcourse correction support is available

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Support to SMEs through Business Incubation at

VIT Technology Business Incubator (VIT-TBI)

• VIT-TBI provided structured training named “Accelerated Business Coaching Program” (www.knowledgebiz.org)

• Close working relationship with over 60 corporate and industry clients

• Conduced Capacity Building Program for Business Incubation Managers under under SSCSSC in May 2007. Over 19 participants from China, Mauritius, Mozambique, Philippines, Sri Lanka, Thailand and Vietnam attended

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Failure Issues

Common causes of SMEs Failures

• Lack of will and perseverance on the part of the entrepreneurs

• Peer and family pressure

• Fear of failure

• Lack of a failure tolerant eco-system

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The Challenges in Technology Transfer in

Medium and Small Scale Industries

• Conversion of kerosene stove to increase efficiency

• Conversion of motorcycle to tilling machine to replace tractor

• Low-cost drip irrigation system

• A manual milking device – inventor J.S. Milker

• Interacting with academic institutions for developing new process

• BITS, Pilani Practical School model extremely successful

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Failures in Technology Transfer in

Medium and Small Scale Industries

Possible reasons of Failures

• Lack of funds to establish sophisticated and advanced facilities for the technology development and transfer

• Interdisciplinary work. Number of experts available are fewer which are required to scale-up the process

• Lack of funds and interest by the funding agency result in half backed process know-how causing failure

• Lack of a failure tolerant eco-system

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Failures in Technology Transfer in

Medium and Small Scale Industries

Suggestions

• Adequate funding should be provided

• Joint work, better cooperation and coordination among different interest groups such as academic institutions, research departments and entrepreneurs

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Conclusions

• This paper has dealt with South-South Cooperation for Technology Transfer and also discussed at length the experience obtained dealing with SMEs at VIT University, Vellore

• Along with numerous success stories, some failures are also discussed along with the reasons and means to avoid them in future

• The interest groups in dealing with the topics of technology transfer; small and medium enterprises will be immensely benefitted by the VIT experience

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• Besides these academic activities involving exchange of Besides these academic activities involving exchange of students and faculty from various universities abroad, IR is students and faculty from various universities abroad, IR is actively involved in assisting in the International actively involved in assisting in the International accreditation of the VIT university.accreditation of the VIT university.

• It helped earlier in achieving the IET & EI accreditation It helped earlier in achieving the IET & EI accreditation from UK and now currently helping in securing the from UK and now currently helping in securing the American Accreditations ABET and AACSB for our American Accreditations ABET and AACSB for our Engineering and Management programmes.Engineering and Management programmes.

• It is also assisting in monitoring the Asia-Link programme It is also assisting in monitoring the Asia-Link programme on Energy and Environment with UAS Aachen and Masters on Energy and Environment with UAS Aachen and Masters programme in Automobile Engineering with UAS Esslingen programme in Automobile Engineering with UAS Esslingen and ARAI, Puneand ARAI, Pune..