Engineering Entrepreneurship:

A Unique Cooperation Between University and Industry

Engineering Entrepreneurship:

A Unique Cooperation Between University and Industry

Gregory P. CrawfordEric M. Suuberg

Division of Engineering, Box DBrown University

Providence, RI 02912

Gregory P. CrawfordEric M. Suuberg

Division of Engineering, Box DBrown University

Providence, RI 02912

Gregory_Crawford@Brown.EduEric_Suuberg@Brown.Edu

Advanced Manufacturing Institute Conference on University And Manufacturing Industry Collaboration

Kansas State UniversityAugust 2002

Engineering EntrepreneurshipEngineering Entrepreneurship

Mission StatementTo provide engineering and non-engineeringstudents a truly high-technology entrepreneurial business experience and challenging engineeringdesign experience by interacting with local industry & business professionals.

Funded by the National Science Foundation:Action Agenda for Systemic Engineering Reform EEC-9972938

Course InfrastructureCourse Infrastructure

Rapid Prototyping Facility Entrepreneur Headquarters

• Computers• Internet access• Conference phone• Copy machine• Scanner

• Fax machine• 24 hour access• Laptop• LCD Projector

Make them feel like a real company (responsibility):

Engineering EntrepreneurshipEngineering Entrepreneurship

Engineers Engineers Non-Engineers Non-Engineers Economics Economics PPSO PPSO

Classics Classics English English

Humanities Humanities OBM OBM

Chemical Chemical

Electrical Electrical

Bioengineering Bioengineering

Mechanical Mechanical

Civil Civil

Computer Computer

Materials Materials

InterdisciplinaryEntrepreneurial Student

Companies

InterdisciplinaryEntrepreneurial Student

Companies

NSF Funding NSF Funding Local Industry Local Industry

Practical Lectures Practical Lectures Brown Faculty Brown Faculty

Entrepreneurship Course GoalsEntrepreneurship Course Goals

Semester I Semester I Semester II Semester II

Practical Lectures Practical Lectures

Focus Focus

• teamwork• intellectual property• technical marketing• business plan• case studies

• teamwork• intellectual property• technical marketing• business plan• case studies

• preliminary b-plan• market due diligence• engineering design• colleague evaluation• presentations

• preliminary b-plan• market due diligence• engineering design• colleague evaluation• presentations

Deliverables Deliverables Lectures• venture capital• finances

Lectures• venture capital• finances

• Engineering• Business Plan • Engineering• Business Plan

Winter Break

Requirements• presentations• competitions

Requirements• presentations• competitions

Company Role - Board of DirectorsCompany Role - Board of Directors Company takes on new role -

Investors !

Company takes on new role -

Investors !

Technology Demonstrator

Professional Business Plan

Semester II

Launch ?

Mentor ModelsMentor Models

Product Broad Technology Idea

Search MarketsFind ApplicationsNarrow Concept

Customer Need ProductSearch for Technology Feasibility Integration Narrow Concept

Technology Mentor

Customer Mentor

Intellectual Property / OwnershipIntellectual Property / Ownership

Mentor Company Seeds Idea

Company GivenOwnership of IP

Company relinquishes IP to students

Company retains IP

Student Team Value Creation

Development

Students take new direction and ownership

Ownership OutcomesConception

Proof of Concept

Thoughts from a IP LawyerThoughts from a IP Lawyer

Reference: Neil Ferraro, Wolf Greenfield & Sachs (Boston, MA)Brown Venture Forum, March 2002

Goals

Goals

Create Start-Up

Upperclass Design Course

Product Development for Sponsor Company

All inventors assign rights to sponsoring company

Proceed with no agreements (Probably o.k.)

Assign rights to student company No inventions assigned to sponsor Company co-inventors assign rights to student company Sponsoring company agrees not to receive shop right.

Course TimelineCourse TimelineFo

rm c

om

pan

ies

Meet

men

tors

Seed

Id

ea.

Mark

et

& IP a

nd

Pre

limin

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w.

Pre

limin

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b-p

lan

. Tech

nic

al Fe

asi

bili

ty&

desi

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revie

w.

August June & July

September December January May

Winter BreakR

eco

nn

ect

wit

h

men

tors

Desi

gn

& p

roto

typ

ere

vie

w

Fin

al re

vie

wB

-pla

n &

pro

toty

pe

Faculty & Guest Lectures Faculty & Guest Lectures

Faculty screen ideas:• No tech service• No product improve- ment

Faculty review b-plans• Technical feasibility• Market feasibility

Faculty assess results:• preparing field manual

Example Course TimelineExample Course TimelineFo

rm c

om

pan

ies

Meet

men

tor

seed

Idea.

Lase

r Fa

reD

irect

Wri

te

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Pre

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September December January May

Reco

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Fare

Fin

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-pla

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Vis

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it

ConformanceSolutions

Win

ter

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ak

What we have learnedWhat we have learned

Application by admission only(50% Engineering/50% Non-Engineers)

Sponsoring Companies havestake in success of project

Good Match between project/students

Avoid non-disclosure agreements

• Good Academics• Core Expertise• High Enthusiasm• Year commitment

• Strong Interest• Core Experience• Access to resources & Information

• Technical Expertise• Overlap interests• Watch Strong Personality

• Students Will Talk• No NDA’s• If necessary then ‘good faith’

GradingGrading

Mentor Feedback

Self and Personnel Evaluations

Frequent Interactions

Quality of Work Product

• Presentations• Written work• Engineering design

• Students always suggest pass / fail option (Faculty disagree)• Grades < A, Students either drop out or become motivated• Important to privately discuss performance with students

General Observations

1999-2001 Projects & Partners1999-2001 Projects & Partners

IRIS SolutionsElectronic Shelf Labels (ESL) IRIS SolutionsElectronic Shelf Labels (ESL)

Intrinsic Systems Wireless AutomationIntrinsic Systems Wireless Automation

TS Prince Filtration Bag Technology TS Prince Filtration Bag Technology

MDigitalElectronic Medical Records MDigitalElectronic Medical Records

Handprint Portable Ink Jet Printing Handprint Portable Ink Jet Printing

2000-01

1999-

00

2000-01

1999-

00

1999- 00

1999-2001Companies

2001-2002 Project2001-2002 Project

TechnologyIntegrated hand-held printer technology for small scale portable devices, e.g. PDAs,Palm Pilots, etc.

Initial Market EntryElectronic prescription writingand rounds report printing formedical professionals

PartnerGroup preparing for presentation to:

CompetitionNovel CAD Designs – Side Printing

Electronics (print engine)Rapid Prototyping Case

Smiles when it FITS !

2001-2002 Project 2001-2002 Project

2001-2002 Project2001-2002 Project

TechnologyMagnetorheological (MR) Fluids – Complexfluids that ‘harden’ and ‘soften’ with EM Activation. Potential vibration dampeners

MarketHand Arm Vibration Syndrome (HAVS)-Degenerate nerve and vascular damagecaused by vibrating tools. Construction& vibrating tool operators.

External magnetic field applied

PartnerSensory Technologies, Inc., NOW Afferent

Group preparing for presentation to:

Competition-Passive Dampening

CAD design of tool handle design

Rapid Prototyping

Proof of Concept- preliminary dataacquired in Prince Laboratory

Electronics

2001-2002 Project 2001-2002 Project

2001-2002 Project 2001-2002 ProjectConformance Solutions

TechnologyDirect write machines ‘write’ electrically conductive lines (< ½ human hair)

MarketA disruptive technology designed to place electronics in places that were previously thought impossible.Enabling new applications.

Partner

2001-2002 Project 2001-2002 Project

Gov’t Funding

Local RI Partner Company

Technology Developers

Potential (Local) Customers

Conformance Solutions

2001-2002 Project 2001-2002 ProjectConformance Solutions

Direct-Write in ActionInexpensive Toy Electronics

Success / Work ProductSuccess / Work ProductJournal of Engineering Education Engineering Entrepreneurship: An Example of a Paradigm Shift in Engineering Education (April 2002, page 185)

National Collegiate Inventors & Innovators AllianceFour student teams were awarded $15-20K each to continual their efforts. NCIIA also supported smaller grants for student travel.

Brown Venture ForumDeveloping New Products with Non-Traditional ResourcesMarch 2002

National Science FoundationSuuberg & Crawford preparing field manual for other universitiesDisclose successes and failures of our venture.

Advanced Manufacturing InstituteEngineering Entrepreneurship: A Unique Cooperation BetweenUniversity and Industry, August 12-13, 2001, Kansas State Intellectual Property

Student groups have filed provision patent applications.

Brown Entrepreneurship ProgramFerrosity – 2002 Winner – 25K Award.

Course Goal Assessment Course Goal Assessment Pro

vid

e e

ntr

epre

neuri

al

experi

ence

. Intr

oduce

is

sues

of

IP, te

chnic

al

mark

eti

ng &

busi

ness

eco

nom

ics

Pro

vid

e a

genuin

e

team

work

experi

ence

Pro

vid

e c

halle

ngin

gte

chnic

al desi

gn

experi

ence

Pro

vid

e a

n o

pport

unit

yto

develo

p w

ritt

en a

nd

ora

l co

mm

unic

ati

on

skill

s

18 18 15

3

17

1

DefinitelySomewhatNot at all

18

Compared to other Browncourses that you have taken,do you feel that this experiencewas:

More ValuableComparableLess Valuable

Student TestimoniesStudent Testimonies

“The course bridged the gap between academics and real life. Theory, problem solving, and midterms are fine, but this course used other, more challenging ways to test the students…”

“I think this is by far the best, most applicable, greatest functional class that I have ever taken…”

“This is like the real thing! The professors created real life circumstances in a business environment to develop a technology and apply it to the market demand...”

“It has been one of the more challenging and time consuming courses, but at the same time, more exciting and most rewarding of, probably all course that I have taken at Brown …”

Post CoursePost Course

Education

Is Our

Product

Independent Funding

• RI B-Plan Competition• NCIIA Competition • SBIR Programs• Angles / VCs / Family

NewRelationship

• Relative to Brown

• Relative to Sponsor

SummarySummary

Course is intensive for Students• Engineers Heavy Engin Course• Non-Engineers Very Heavy Load

Faculty resource intensive• 1.5 faculty required for 24 students• Time consuming/ long hours/ late nights

Amazing Opportunity

• Enriching for faculty• Learn something new• Other benefits

• Enriching for students• Business experience• written/oral/presentation skills

AcknowledgementsAcknowledgements

Funded by the National Science Foundation (NSF): Action Agenda for Systemic Engineering Reform

(EEC-9972938)

National Collegiate Inventors & Innovators Alliance (NCIIA):Provided funding for two student teams to carry on their entrepreneurial efforts after the class, and alsoproviding travel funds to students within the class to attend professional workshops and conferences

Division of Engineering for providing funding to create the entrepreneurial headquarters