The Humber and North The Humber and North Yorkshire Yorkshire

New Technology InstituteNew Technology Institute

Professor Graham JonesDirector of the Research and Enterprise

OfficeUniversity of Hull

C o s ting & P ric in g , A u d itP ro jec t A dm in istra tion

G ra n t & B id W rit ingIP M a n ag e m e nt

R e se arch G ra n ts & C on tra c ts

L ice ns in g & S p in -O u tsT ra in in g & Co n su lta n cy

T e a ch in g C o m p a n y S che m esY F E U P ro je c ts

B u s in e ss S u pp o rt

C ity & R e g ion a l O utre a chR e g io n a l R ep re se n ta tion

E u ro p ea n In fo rm atio n C en treE u rop e a n R eso u rce Ce n tre

R e g io n a l S u pp o rt

R E O D ire c to r

Research

Reach-Out

University of Hull Research and University of Hull Research and Enterprise OfficeEnterprise Office

A post-RAE 2001 strategy forResearch & Enterprise growth

sustain & increase research base [basic & applied]

encourage interdisciplinary research models

promote commercial awareness

protect intellectual property

commercialisation & marketing of University IP

establish facilities & infrastructure to support incubation

HEFC formulae will inhibit traditional research growth

major funding initiatives anticipated in health & clinical sciences

coordinated enterprise strategy is appropriate growth option

Immediate Priorities

in tune with regional economic needs

explicit in their support of technology transfer

flexible in personnel policies, potential conflicts of interest

7 Attributes of Universities that lead in technology comercialization

linked to area business support systems

generous in facilities & equipment policies

proactive in enterprise capitalization

grant measure of autonomy to tech transfer offices

Nanette Kalis, Technology Commercialization through New Company Formation, NBIA, 2001

Is it ready?

Does somebody need / want it?

Is it worth it?

Assessing Inventions & IP: Early Stage 'Gap Funding'

invention complete?patent search?prototype available for demonstration?premature for current market?utility grapsed readily?will licensee need to develop invention?

similar products on market currently?comparative cost / effectiveness?customer base?alternate markets for invention?prototype to help license technology?

[gap funding]discovery invention product

[IP]

inventor motivated to champion cause?recovery of patent costs from royalties likely?foreign patents necessary?capital required to develop / manufacture invention?can patent be enforced?government approval / certification issues?

Managed Startup Model

Faculty Owned Business Model

Early-Stage Development Model

Licensing Models for University Affiliated Startups [OSU]

Entrepreneurial Leave Model

Startup licenses technology from UniversityUniversity employees adopt limited equity / management stakeFaculty act as consultants [under conflict management plan remit]Company access to new technology via sponsored research at UniversityCompany provided exclusive option to license IP developed under agreements

Faculty member majority owner - licenses University technologyOwnership interest reduced as further capital raisedFaculty member retains full commitment to UniversityFaculty member cannot serve as PI for company sponsored research

Faculty member majority owner- exclusively licenses University technologyFaculty member can serve as PI for company sponsored research & federally funded projects for limited time period

Faculty leave of absence granted to enable development of technologyFaculty member returns when outside management, capital establishedConflict of interest managed through defined mechanism

CURRENT / PENDING ‘SPIN-OUT’ COMPANIES (September 2002)

Spin-Out Company Activity of Company

Knowledge Base UK Ltd Consultancy services for the preparation of project funding applications and management for four Universities.

IT Interface Ltd Provision of IT based training and consultancy.

Micro Chemical Systems Ltd Micro-chemical reactor development.

Kingston Chemicals Ltd Manufacture of advanced liquid crystal materials.

Individual Business Solutions Ltd Management assessment techniques and evaluation.

TLM Technology Ltd Thermal simulation software.

Information by Design Ltd Statistical/data analysis, consultancy and market research.

What the University Incubator Provides

Business Assistance

technical support

management support

financial support

shared basic business support

Unique Facilities

libraries

retail outlets

high-end computer laboratories

wet & dry laboratories

intimate tie to active research community

University alumni

diverse faculty expertise [law, PR, communications]

student labour / internships

Benefits to University

income generation

attracts students, faculty

opportunities for spouses

helps keep companies local

helps dissolve town-gown lines

RDA (Yorkshire Forward) RDA (Yorkshire Forward) ClustersClusters

BiosciencesChemicalsDigitalEngineering & MetalsFood & Drink

Yorkshire Forward RES Yorkshire Forward RES Objectives for Yorkshire and Objectives for Yorkshire and

Humber 2003-2012Humber 2003-2012

Grow the region’s businessesHigher business birth ratesMore private and public investmentImproved education, learning and

skillsConnecting communities to economic

opportunityEnhanced infrastructure and

environment

The Local Digital AgendaThe Local Digital Agenda

Hull-York Digital AxisThe Digital Estuary ProjectDigEstHull ICT AllianceHull City DigitalDigital Development ZoneCommercial Leaders (BBC, KIT…)Science Parks / Incubators

Digital City - OverviewDigital City - Overview Integrating the opportunities and practice of

information and communication technologies into the current and future life of the city

Transforming the economy, business and employment to create a prosperous economy in the Information Age

Creating an intelligent, knowledge driven City Including all citizens and communities in the

opportunities for a prosperous, healthy, safe, and sustainable quality of life in the City

Becoming a beacon for good governance, participation, and public service development and delivery

Applying information and communication technologies to innovate, pioneer, and modernise

Fulfilling Hull’s unique opportunity to benefit from the Information Age

A Hull Digital Media Centre?A Hull Digital Media Centre? “we believe efforts to support exploitation of the Region’s

science base in the digital industries should be focused on the York-Hull axis, not diffused across the Region.”

“ an emerging example of good practice in collaboration, the concept of the Digital Media Centre is to create an innovative environment that brings together the converging digital technologies of audio-visual media, information technology and telecommunications into a centre where enterprise can flourish.”

“ the centre, based in Hull, would put Hull at the forefront of digital-related enterprise in the Yorkshire and Humber Region.”Arthur D Little - Cluster Report, 2002

The Local Digital AgendaThe Local Digital Agenda

Hull-York Digital AxisThe Digital Estuary ProjectDigEstHull ICT AllianceHull City DigitalDigital Development ZoneCommercial Leaders (BBC, KIT…)Science Parks / Incubators

Humber DigEst - The Humber DigEst - The ProposalProposal

Feasibility study to explore potential for the Humber Trade Zone as a digitally enabled global gateway. Involves creation of:– A National Centre for Digital

Innovation (Connectivity)– A National Centre for Local Interactive

Communications (Content)– A central facility as a platform for the

management and roll out of these offerings within the region and across the ‘e-20’ community

The Humber DigEst Global Gateway addresses regeneration and development issues on four levels:

– Local Conditions are not conducive for the creation of new

businesses, nor the growth of existing ones where they concentrate on local markets. Progress in the Humber 2001/2002, Humber Forum

– Regional The region needs to develop a knowledge based

competitive edge and prepare its’ businesses to seize the opportunities of the information revolution. Yorkshire Forward RES 2000-2002

– National Government target to be most competitive Public Sector

facing structure within G8; world leader in the production of learning materials AND to be a world leader in e-delivery of public services with 100% of services online by 2005

– EU The EU’s 2nd report on economic & social cohesion

recognised the need to “drive trade & development outside the congested core of Europe”

Humber & North Yorkshire Humber & North Yorkshire NTI HistoryNTI History

HEFCE invitation to bid Summer 2001 Bid submitted Feb 2002 HEFCE notification May 2002 NTI Steering Group May 2002 NTI Executive Advisory Group July 2002 HEFCE capital funding (£1.2 million) awarded Oct 2002 NTI National Meeting (London) 12 Nov 2002 NTI Consultation Event 14 Nov 2002

Business Plan Delivery 20 Dec 2002 Programme Manager Appointment 20 Jan 2003 Bid Evaluation Committee Feb 2003 NTI Operational March 2003

Bid Evaluation CommitteeBid Evaluation Committee

Proposed Panel:– NTI Director (Non-Exec)– 1 Learning & Skills Council– 1 Business Link– 1 Yorkshire Forward– 1 Higher Education– 2 Further Education– 1 Private Sector Technology Business– 1 City Representative

Criteria? Technology <……> Training

New Technology Institute New Technology Institute Humber and North YorkshireHumber and North Yorkshire

from Mission to Action to from Mission to Action to ImpactsImpacts

John Trinnaman, Milburn Trinnaman La Court (mtl)Keith Butler, Research & Enterprise Office,

University of Hull

New Technology Institutes: New Technology Institutes: The HEFCE MissionThe HEFCE Mission

Origins:– White Paper on Enterprise, Skills and Innovation (February

2001)– HEFCE Invitation for Bids (July 2001)– No more than 2 per region– Outcome of Bids (May 2002)

Core purpose of NTIs:– Increase the supply of technician and higher level skills in

ICT and advanced technologies– Better advice and support to SMEs on new technology

adoption and on innovative business practices– Encourage lifelong learning and progression to higher

education qualifications– Note: no central prescription

New Technology Institutes: New Technology Institutes: Core ElementsCore Elements

Delivery:– High quality teaching (NVQ 3 to Foundation Degree) for FT students;

those in employment– Innovative, flexible, user-friendly and attracting non-traditional students

– providing progression pathways– SME support on employer commitment to higher level skills, adoption of

new technology and of innovative practices, increase entrepreneurship Processes:

– Collaborate with key agencies on skills gaps, tailoring content and delivery

– Work placements, staff exchanges, training sessions on company premises

Principles:– Additionality– Income generation and sustainability– HEI-led consortia

New Technology Institutes: New Technology Institutes: How it WorksHow it Works

HEFCE provides capital – staged over 2002/03 to 2003/04

Consortia bid for Additional Student Numbers funding via HEFCE and LSC

Consortia may seek other funding for additional activities to fulfil Core Purpose/Core Elements

Consortia may generate income from full cost provision or from Business Sponsorship

Monitoring returns to DfES and Treasury (plus to other funders) 6 monthly

What New Technology What New Technology InstitutesInstitutes

Must MonitorMust Monitor No of new/additional courses commenced

No of courses proposed

No of students applying to NTI new courses

No of students enrolled

No of contacts made with SMEs

Activities for and amount of income generated

Expenditure against planned profile

Humber and North Yorkshire Humber and North Yorkshire New Technology Institute New Technology Institute

The consortium:

• HEFCE contract (for £1.2m capital) agreed – September 2002• A Hub and Spoke Model – REO = Hub; Spokes = 11 institutions• A diverse catchment so no one size fits all specialisms• Hub commission bids (capital or revenue) from spokes and is

accountable for NTI to HEFCE/LSC• To date, an Executive Advisory Group has helped on planning• Unfolding guidance and clarification – funding silos to

overcome

Bishop Burton CollegeSelby CollegeYorkshire Coast CollegeNorth Lindsey CollegeEast Riding College

Wyke CollegeFranklin CollegeGrimsby CollegeWilberforce CollegeHull College

University/College of York St JohnUniversity of LincolnUniversity of Hull

Humber and North Yorkshire Humber and North Yorkshire New Technology Institute New Technology Institute

OperationsOperations

Market development with leading SMEs

ICT/advanced technology training NVQ 3&4 & vendor

qualifications

Skills demand &

supply

Spokes & hub

Innovation & technology

Promotion: low level/non-using SMEs

Skills supply

Spokes

Skills demand

Spokes & hubFOUNDATIONS Project

development Content

generation Courses/qualificati

ons

Marketing Foresight research

Networking

Financial management

Funding/income generation

Monitoring/audit

Humber and North YorkshireHumber and North YorkshireNew Technology Institute New Technology Institute

TargetsTargets Additional student numbers to 2004/05 – 2,000

full and part-time (FTE financial implications may be circa £3m)

SMEs assisted to 2004/05 – 300 (at least) (financial implications £450k-£1.5m)

Other projects’ targets to be determined – may involve £2m to 2004/05

Spend (invest) £1.2m capital – wisely!

Managing the New Technology Managing the New Technology InstituteInstitute

From EAG to Executive Board Board comprises stakeholders:

– Drives strategy– Commissions delivery and new projects– Appraises bids and allocates £ to spokes

Management team:– CEO – Projects development– Contracts/finance– Operations

Going LiveGoing Live

Business plan by December

Financing (cocktails across silos)

Recruitment

Executive Board

Process/systems manual

Marketing and communications plan

Delivery spring 2003

University of HullUniversity of Hull

Expertise in:– eLearning– Graphics and Virtual

Environments– Games Development– Wireless Information Systems– Internet Computing

University of Hull and the NTIUniversity of Hull and the NTI

An opportunity to:– Widen participation in education– Provide training in new media

technologies– Bridge the gap between technology

and creativity– Develop new systems for media

creation, management and deployment– Engage the local community– Develop new and existing hi-tec

industry in the Yorkshire area

NTI National Open Day NTI National Open Day Tuesday 12Tuesday 12thth November 2002 November 2002

Marketing/Branding

Curriculum

Finance/Implementation/Getting Started

Advanced Technology

Impacts (Rather than Impacts (Rather than Outputs)Outputs)

Responsive to and driving business demand

Market relevant, specialist skills

New entrepreneurship and innovation cultures

Credible, professional HE/FE performance

Demanding businesses, demanding students

Bottom line business and economic impacts

Detailing the Business Plan Detailing the Business Plan Workshop QuestionsWorkshop Questions

The NTI concept is advanced technology including ICT. How should we define advanced technology? Are there particular sectors / clusters that should be targeted?

The NTI has a target of 3000 (additional) students trained to NVQ 3/4 or equivalent. What are the most effective means of engaging SMEs to achieve this level of enrolments?

The NTI has a target of 300 SMEs helped. Which forms of help will achieve the NTI mission i.e. workforce development, managerial development, technology advice/transfer, product/process/services innovation?

It is proposed that a panel commissions bids for capital and revenue expenditure. What key appraisal criteria and frequency would you envisage?