Presentation toKT Scotland: Policy & Practice

2009University of St Andrews

Friday 3rd April, 2009

Atholl ReidKTP Adviser

Tayside & East of Scotland

‘Europe’s most successful Knowledge Transfer Programme…’

Funded by the Technology Strategy Board with 17 other funding organisations (AHRC, BBSRC, Defra, DoH, EMDA, EPSRC, ESF, ESRC, Invest NI, NERC, The Northern Way, One North East, Science & Technology Facilities Council, SEEDA, Scottish Government, SWRDA, WAG)£27m grants committed

£68m company contributions

975 live Partnerships

1,057 live projects

Funding

Benefits per Associate project:

Annual profit up ~ £222kInvestment in plant and machinery ~ £163kNew jobs created ~ 3Company staff trained ~ 15New research projects initiated ~ 3Commercial benefits from application of IP ~ 32%

The Good News

Benefits per £1m Government spend:

One-off increase in profit before tax ~ £68,805Increase in annual profit before tax ~ £3.08mInvestment in plant and machinery > £2.27mJobs created 54Company staff trained 395

Company Benefits

KTP FEATURES• Project length 12 – 36 months• Associates recruited by KB and Company partners• Employed by KB partner• Project located mainly at business premises

with company supervisor• KB Supervisor spends ~ half day per week

mentoring

KTP COSTS• Approximately £60,000 per annum (FEC)• Grant if SME is 67%• Grant if large company is 50%

KTP - The Basics

Company PartnersStable companies of all sizes from all industrial sectors

Charities and not-for-profit organisationsEducation institutions (LEAs and schools)Health organisations (hospitals and NHS Trusts)

Knowledge Base PartnersHigher Education InstitutionsFurther Education Institutions (teaching NVQ Level 4)Research and Technology OrganisationsPublic Sector Research Institutes

The Partners

Academic Departments

Recently qualified with:

First degree ~ 76% hold 1st or 2(i)Higher degree ~ 51%NVQ level 4Average age 28 yearsAll disciplines

The Associates

Project Criteria

Strategic relevance to the businessStimulating and challenging for the academic teamIntellectually challenging for AssociateSound business caseClear knowledge transferClear additionalityBenefits likely to accrue

Creative Industries Facts

• In Scotland, more than 100,000 people are currently employed in the creative industries, generating £5 billion (which includes Scotland's computer games industry with an estimated turnover of £5 million), and contributing 4 per cent to Scottish GDP. ]

• Up to 6.7 per cent of Scotland's employment is within, or related to, the creative industries, giving it a greater share of creative industries employment than any region in the UK, outwith London and the South East.

The Creative Industries

Sectors• Advertising • Architecture • Crafts and designer furniture • Fashion clothing • Film, video and other

audiovisual production • Graphic design • Educational and leisure

software • Live and recorded music • Performing arts and

entertainments • Television, radio and internet

broadcasting • Visual arts and antiques • Writing and publishing

The Creative Industries

Sectors• Advertising • Architecture • Crafts and designer furniture • Fashion clothing • Film, video and other

audiovisual production • Graphic design • Educational and leisure

software • Live and recorded music • Performing arts and

entertainments • Television, radio and internet

broadcasting • Visual arts and antiques • Writing and publishing

Underlying Technologies• 3D Virtualisation / Rendering.• Tools and technologies to

facilitate collaboration and co-design.

• Location technologies/mobile• Artificial Intelligence• Digital Networks / Wireless• Computer Modelling• Data Security• Human Machine Interaction

• Smart materials/textiles and functionality

• Sensors• Flexible / Wearable Electronics• Nanotechnology

Key Concepts : Creative Industries

• Creative Industries....are based on individuals with creative arts skills....in alliance with managers and technologists....making marketable products....whose economic value lies in their cultural, or ‘intellectual’, properties.

Defined by the UK’s Department of Culture, Media and Sport as "…those activities which have their origin in individual creativity, skill and talent and which have a potential for wealth and job creation through the generation and exploitation of intellectual property",

The Products

• [People] are buying and selling words, music, pictures; gadgets, computer software, genes; copyrights, trademarks, patents; proposals, formats, fame, faces, reputation, brands, colours. The goods on sale in this noisy marketplace are the rights to use – or, in the lawyer’s phrase, to exploit – intellectual property.

The Creative Economy, John Howkins

The Road To Riches

• Managing creativity involves knowing, first, when to exploit the non-rivalrous nature of ideas and, second, when to assert intellectual property rights and make one’s ideas-as-products rivalrous. These two decision points are the crux of the management process.”

• The Creative Economy, John Howkins

The Road To Riches

• Entrepreneurs in the creative economy (often called ‘creative entrepreneurs’) … use creativity to unlock the wealth that lies within themselves. Like true capitalists, they believe that this creative wealth, if managed right, will engender more wealth. …

These entrepreneurs share five characteristics: • (i) vision • (ii) focus • (iii) financial acumen• (iv) pride and • (v) urgency.

The Creative Economy

• The ‘copyright industries’ consist of all industries that create copyright or related works as their primary product …

• The ‘patent industries’ consist of all industries that produce or deal in patents …

• The ‘trademark and design industries’ are even more widespread, and their sheer size and diversity make them less distinctive.

• Together, these four industries constitute the ‘creative industries’ and ‘creative economy.’ This definition is contentious. While all the definitions so far concur with international practice, there is no consensus on this one.

The Creative Economy, John Howkins

OTHER COMPANIES

Bunnyfoot

Graven Images

Southbank (Festival Hall)

Press Association

Philips.

IDC (Industrial Design Company)

Clive Chapman Architects

Pharos

KTP in Creative Industries Companies

Financial Viability – Likelihood of stability for lifetime of the project

Time in University Labs – 50% is maximum

Embedding of KT – KTP aims to embed a capability that will beused strategically by the company

Is it ‘Near Market’ DevelopmentThe Business Case – Payback period and risk

Providing a commercial environmentSupervision arrangementsCost of consumables

Likely Issues for Creative industries Companies

Possible Company Partners

– Small and medium sized enterprises (SME’s),– Local and national arts organisations, – Large commercial organisations, – Local authorities, – Registered charities, – A consortium of organisations– Creative clusters– Community ventures

ESRC Capacity Building Grant

Economic and Social Research Council £1.5m grant ● 5-year funding ● build strong social science research base ● industry-relevant research to build knowledge base of

the sector in Scotland● to ensure Scotland has the capacity to grow and

sustain vibrant creative industries

15 Case studentships

7 Knowledge transfer partnerships

15 Business Vouchers

£1.5 Million Funding

• KTP Programme Office• AEA• Didcot• Oxfordshire• OX11 0QJ

• Email: ktp-help@ktponline.org.uk• KTP Helpline: 0870 190 2829• www.ktponline.org.uk