climbing mountains: entrepreneurship through higher education anderson.pdf · higher education...

1

Climbing Mountains:

Entrepreneurship through

Higher Education

Muscat, March 17, 2012

Presented By:

Thomas Andersson Senior Advisor – The Research Council

Sultanate of Oman

andersson@trc.gov.om

http://www.trc.gov.om

2

GDP per capita

Source: World Development Indicators (2010). Data are from 2008

or latest available.

3

Economic Diversification Share of largest economic sector in total value added,

Source: World Development Indicators (2010). Data are from 2008

or latest available.

High-tech Exports as percent of GDP

Source: Estimates based on World Development Indicators (2010).

Data are from 2008 or latest available.

R&D Expenditures (% of GDP)

Oman Knowledge ID Federation 5

Source: World Development Indicators (2010), except Oman and

Quatar (informal estimates). Data are from 2008 or latest available.

6

Number of days required to start a

business

Source: World Development Indicators (2010). Data are from 2008

or latest available.

7

Entrepreneurship

• Shifting economies of scale and scope

• The rising importance of risk-taking and

freedom from historical overhang

• Features of entrepreneurship (necessity-based,

opportunity-based)

• Features of entrepreneurs (age, gender,

education, experience, neworks)

• Sources of success (captain or current; mode

of entry, skills, attitudes, wider ecosystem)

Matching Entrepreneurial

Capacity and Opportunities

Opportunity-seeking entrepreneur

Entrepreneur-seeking opportunity

Entrepreneurial

capacity (EC)

Entrepreneurial opportunities (EO)

Entrepreneurship

Imbalance

EO > EC

Imbalance

EC > EO

2

1

IUE

IUE

9

Abandoning the Linear Model

10

Open Innovation Model

Internal Ideas

External Ideas

New

Products

& Markets

Spin Offs

Source: Open Innovation: The New Imperative for Creating and Profiting from Technology, H. Chesbrough, 2003

11

Evolution of Innovation Metrics

First Generation

Input Indicators

(1950s–60s)

Second Generation

Output Indicators

(1970s–80s)

Third Generation

Innovation Indicators

(1990s)

Fourth Generation

Process Indicators

(2000s plus emerging

focus)

•·R&D expenditures

•·S&T personnel

•·Capital

•·Tech intensity

•·Patents

•·Publications

•·Products

•·Quality change

•·Innovation surveys

•·Indexing

•·Benchmarking

innovation capacity

•·Knowledge

•·Intangibles

•·Networks

•·Demand

•·Clusters

•·Management techniques

•·Risk/return

•·System dynamics

Source: Milbergs and Vonortas (2004), Innovation Metrics: Measurement To Insight, Center

for Accelerating Innovation and George Washington University, National Innovation Initiative

21st Century Working Group.

Founder,

Friends &

Family

Stages of development

Seed Start - up Early Growth Expansion

Venture

Capitalists

Quoted Markets

Banks

Business Angels

Diversity of Financial Instruments

13

“Seed” Funds Initial stage of

funding

Start up

funds

Fourth

stage

Third

stage

Second

stage

Start up phase Maturing phase

Phases with losses

Phases with profit

Participation Capital / Bank loans Seed funds

Venture Capital

Buy out

Strategic Participation

Start up

Expansion

Phases of Business Development and Funding Tools

Pre-incubation phase

Invention Phases

of Incubators

The Pre-incubation Concept

Start-ups

Higher Education Institutes

Research Centres

Science or technology-based ideas

for new products and services

Pre-incubation

Working Space

Mentoring & coaching

Students

Young graduates

Researchers

Viable start-ups

Spin-off increase

Entrepreneurial culture

15

ACADEMIC ENVIRONMENT – A CENTRAL HUB IN THE

ENTREPRENUEIAL LANDSCAPE

House of Ideas

Entrepreneurship Policy

Network

Courses

Workshops

Seminars

Conferences

Forum

Competence-oriented

diploma

Non-credit programmes

Career counselling

Business and Tech Labs without borders

Lecturing Researching Mentoring and tutoring Academic counselling

• Knowledge for problem solving and opportunity chasing • Students’ style of learning

• Professional professors

(theory-oriented practitioners)

• Academic professors

(practice-oriented scholars)

Environment

• Open-source network • Federated, distributed and authentic conversations • Access to and refining of entrepreneurship policy

Education

Business process

implementation

Brain mobility & brain waves Labs for experimentation & simulation of high-expectation start-ups

16

Entrepreneurship: Role in the Economy

• Source of seeds for the future

• Search of solutions to outstanding issues

• Driver and enabler of structural change

• Driver of job creation

• Key to diversifying the economy

• Source of broadening societal and regional

develoment

• Way of life – intrinsic to active learning, related

to soft skills, creativity, innovativeness,

constructive action

17

Entrepreneurship: Outstanding Issues

• Dominance of public sector and big business

framework – red tape, regulations, institutions

• Mindset – from early in life, fortified through

higher education

• Vertical silos, strong association with professions

and established sectors

• Risk-reward ratio; outcomes of success and failure

• Autonomy, room for local adaptation, cultivation

of uniquenss vs. herd behavior

• ... The entrepreneurship and innovation ecosystem