Experience of Knowledge Transfer Partnership schemes for SMEs in the UK - Can it be developed in...

7/30/2019 Experience of Knowledge Transfer Partnership schemes for SMEs in the UK - Can it be developed in Macedonia?

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Experience of KnowledgeTransfer Partnership

schemes for SMEs in the UK

- Can it be developed inMacedonia?

Prof Algirdas Paktas

Professor, London Metropolitan University/ School of Computing

+4471004308, [email protected]


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History

Launched as TeachingCompanies Scheme (TCS)

Knowledge TransferPartnerships replaced TCS

and Colleges & BusinessesPartnership scheme (CBP)

Transferred from theDepartment of Trade and

Industry (DTI) to theTechnology Strategy Board


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Sponsors

Department of Trade and Industry

Biotechnology and Biological Sciences Research Council

Invest Northern Ireland

Department of Health Economic and Social Research Council

Engineering and Physical Sciences Research Council

Department for Environment, Food and Rural Affairs

Welsh Assembly Government Natural Environment Research Council

Particle Physics and Astronomy Research Council

Scottish Executive


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Funded by the Technology Strategy Board with 21 other funding organisations:

Funding Organisations


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What is a Knowledge Transfer

Partnership?

A collaboration involving 3 partners with gain for all:

1. A company that would benefit from additional expertise to

aid innovative product, process or market development

2. An academic team with the mix of expertise to fill the

expertise gap

3. At least one graduate - KTP Associate to carryout the

project work in the company over 1-3 years, jointlysupervised by company and academics.


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StrategicCompany-Based

Project

Improve Productivityand Company

Enhances Knowledge BasesRelevance to Business

Enhances GraduateCareer(s)


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Knowledge Transfer Partnerships area Government sponsored initiative

enabling access to knowledge &technology

KTP encourages collaboration betweenuniversities and industry

They are a flexible programme of between 12months to 3 years which address issues

strategic to company development, e.g.- develop new/improved products- enhance business process

- facilitate more effective management systems


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What is KTP?

Give a man a fish andyou feed him for a day.Teach him how to fish

and you feed him fora lifetime

Lao Tzu


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Knowledge Transfer Partnerships

MissionTo strengthen the competitiveness and wealthcreation of the UK by the stimulation ofinnovation in industry through collaborative

partnerships between the science, engineeringand technology base and industry

Extension of the TCS scheme

(formally Teaching Company Scheme)


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KTP Mission

Knowledge Transfer Partnerships

is Europes leading programme helping

businesses to improve their competitiveness,

productivity and performance through the

better use of knowledge, technology and skills

that reside within the UK knowledge base.


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Aims of KTP

Transfer of Knowledge and Skills from

University to Industry

Develop Graduates for Industrial Careers

Increase Industrial Relevance of

Academic Research and Teaching

Encourage Investment by Industry into

Innovation


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Objectives of every

Knowledge Transfer Partnership

facilitate the transfer of knowledge and thespread of technical and business skillsthrough innovation project

provide company-based training forgraduates in order to enhance theirbusiness and specialist skills

stimulate and enhance business relevantresearch and training undertaken by theknowledge base


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Partnership

Structure


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Knowledge Partnership Structure


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Partnership Structure


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The Features: classic KTP

Project length 1-3 years

Associates recruited by KB and Business partners

Employed by KB partner

Project located at business premises

with company supervisor

KB Supervisor spends ~ half day per

week at company premises


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The Features: shorter KTP

Project length 10-40 weeks

Tackling shorter-term, more tactical issues

Employed by KB partner and works at business premises or can

be based at the KB if already employed by the business partners

Partnerships may have more than one 10-40 week KTP

running in parallel or sequentially

Supervision ~ half day per week working

within the project


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Strategic relevance to the business

Stimulating and challenging for the academic team

Intellectually challenging for Associate

Sound business case

Clear knowledge transfer

Clear additionality

Benefits likely to accrue

Project Criteria


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KTP PROJECT LEADTIME

DEVELOP DETAILEDKTP PROPOSAL

SUBMISSION &APPROVAL

ADVERTISEMENT& INTERVIEW

APPOINTMENT& START

IDENTIFYCLIENT

PROJECT

KTP PROJECTAUTHORISATION

PROCESS

Minimum elapsed time for project approval: 4 months

SELLING

PROJECT

DESIGN

SUPERVISION


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Criteria for Projects

Company financially able to complete and exploit the

programme

Programme will create strategically important change forthe company

Academic input essentialfor an innovative result

Associate s t r e t c h e d


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March 2007

17 sponsors (TSB, SE, WAG, Invest NI, Defra, DoH,

EPSRC, ESRC, NERC, BBSRC, PPARC, AHRC, One

North East, SEEDA, SWRDA, EMDA, Northern Way)32.7m Grants committed

81.5m company contributions

1048 live Partnerships (22% increase since 2005)

1157 live Projects


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Project Lifecycle

Idea

Outline approvalProposal

Grant1 to 5years

Grading

Awards

Carry out the work

Final Report

Post-project plans

Recruit graduate/s


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Benefits to Company

Highly Skilled Graduate to Work on aSpecific Project

Access to Academic Consultant and

University Facilities (via the projects academicsupervisors & KTP Associate)

Financial Benefits from CompletedProjects

Improved Competitiveness

Workforce Enhance Through Transfer ofKnowledge and Skills


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Benefits per KTP project:

Annual profit up >227k (highest 20m)

Invest. in plant & machinery >106k (highest 7m)New jobs created ~ 4

IP applied commercially > 65%

New research projects initiated ~ 3

Company

benefits


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Business Benefits

Recruitmentof the right

people

Long-term,strategicrelationship with

KB partner

Transferofknowledge/

expertise

Embeddingof innovation

culture


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Size of Enterprise

250 Employees(25%)


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Benefits to Academic

Set-up Collaborations with InnovativeBusinesses

Develop Business-relevant Teaching

MaterialsPublish High Quality Research Papers

Supervise Postgraduate Degree

CandidatesIdentify Opportunities for Postgraduate

and Undergraduate Projects

Research Income and RAE


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Knowledge Base Benefits

IncomePublished papers

Teaching materials, case studies and projects (87%)

New research themes - commercial relevance (89%)Staff development commercial awareness (91%)

Higher degree registrations

Graduate career opportunitiesIP negotiated with the company (20% expect commercialbenefits)

Strategic relationship with company (76%)


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University benefits

Understanding of industrial requirements and

commercial imperatives

Opportunities to put ideas into action

Development of relationships for other research projects

Staff development

Framework ideal for younger academics to build relationships

with industry in safe environment supported by senior

academics & KTP consultants and to develop and hone new

skills

Student placements

Student projects

Publishing academic papers


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Top 25 KB Partners


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KTPs by Academic Department

Engineering(36%)

Management(18%)Computing

(17%)

Sciences(15%)

Design(7%) Other(8%)


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RAE Rating of Department

5&5* (33%)

4 (24%)

3(33%)


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Benefits to Associate

Opportunity to Work on a Project Centralto the Companys Strategic Development

Competitive Salary

Opportunity to Register for HigherDegree and Study for a Dip inManagement level 5

Financial Support for Business RelatedTraining

Mentoring from Experienced Universityand Company Staff


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The Associate

Part of countrys largest graduate recruitment schemeCompetitive salary

Fast-track career development

51% registered for higher degree during project

74% offered employment by host company

Training & development with qualification in Management to

National Standard


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Recently qualified with:

First degree ~ 77% hold 1st or 2(i)

Higher degree ~ 38%

Average age 28 years

All disciplines

The Associate


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Suitable areas for programmes could includeProduct design/developmentManufacturing ProcessTechnology Transfer

MarketingInstallation of systems

Management,Quality,

ICTEnvironmental

KTPs are not sector specific


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What Next?Consider whether existing links with companies have

potential for KTP:Guest Speakers

Consultancy

Contract research

Recruiters/Previous employersSuppliers

Consider research applications and suggest Companies

We can help identify Companies


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Knowledge Transfer Partnerships fEC Budget Example

(Note: for Large Company funding is 50% Government & 50% Company contribution)

Cost eligible for support per year 1 2 3

DIRECTLY INCURRED COSTS Partnership

Budget,

Government Budget

(67%)

Companys Budget

(33%)

a. Associate(s) Employment costs 27,000 18,090 8,910

b. Associate(s) Development 2,000 1,340 660

c. Travel and Subsistence 2,250 1,508 742

d. Consumables 1,500 1,005 495

DIRECTLY ALLOCATED COSTS

e. Knowledge Based Supervisor (+

indirect costs)

12,000 8,040 3,960

f. Associate(s) Estate Costs

(dependent on time in University)

-------- ---------- ----------

g. Mentoring Support (if applicable) N/A N/A N/A

INDIRECT COSTS

h. Additional Associate Support

(learning resources, personnel

department etc.,)

18,632 12,483 6,149

TOTAL 63,382 42,466 20,916


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Live Partnerships

0

200

400

600

800

1000

1200

1993/94

1994/95

1995/96

1996/97

1997/98

1998/99

1999/00

2000/01

2001/02

2002/03

2003/04

2004/05

2005/06

2006/07


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Commercial benefits from application of IP ~26%

New research projects initiated 3

Company staff trained 14

New jobs created 3

Investment in plant and machinery ~ 165,905k

Increase in annual profit before tax ~ 270,000k

Example of Business Benefits

Benefits per Associate project:


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KTPs at the UoG

Since 2003, UoG has undertaken 44 KTPprojects

29 have been related to informationsystems or software development

10 were based on new sales and marketingdevelopments

4 focused on new product development

1 delivered general efficiencyimprovements in a local authority


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KTPs at the UoGOf the 44 projects:

40 have been with SMEs and 4 with large organisations (2 public sector, 2 private

sector)

SMEs have come from many industry sectors: software houses construction companies office supplies company assembly and distribution (for equipment for disabled) pharmaceuticals packaging contract packaging environmental services landscape architects project management services electronic funds collection agricultural feeds manufacture

Experience of Knowledge Transfer Partnership schemes for SMEs in the UK - Can it be developed in...

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