Innovation and Commercialization: Malaysia...
Transcript of Innovation and Commercialization: Malaysia...
___________________________________________________________________________
2015/HLPD-STHE/009 Session 4
Innovation and Commercialization: Malaysia Perspective
Purpose: Information
Submitted by: Malaysia
High Level Policy Dialogue on Science and Technology in Higher Education
Manila, Philippines13-14 August 2015
17/8/2015
1
GOVERNMENT
ACADEMIA
INDUSTRY
COMMUNITY
1st APEC High Level Policy Dialogue on Science and Technology in Higher Education
“Innovation and Commercialisation:
Malaysia Perspective”13th to 14th August 2015
Phi l ippine International Convention Centre
Dr. Arham AbdullahDi rector
In dustry Relation DivisionHi gher Education Department
Mi nistry of Higher Education Malaysia
Ministry OfHigher Education
2025
2 30 1Wave Wave Wave
Build momentum and lay
foundations
Accelerate system
improvement
Move towards excellence with increased
operational flexibility
2013 2015 2020
17/8/2015
2
3
Ministry OfHigher Education
Outline
Stages of economy in Asia
How can Higher education help move the innovation
economy agenda of the country?
Are we there yet?
Innovation ecosystem
R&D towards commercialization: Paradigm shift
4
Ministry OfHigher Education
17/8/2015
3
Rubber, palm oil etc Multinationals at free trade zones
Knowledge‐based
5
Stages of Economy in Asia
Resource-driven Innovation-drivenFrom to
Resource -driven
economy
Investment-driven
economy
Innovation-driven
economy
Ministry OfHigher Education
Science
TechnologyManagement
GenerateKnowledge
DisseminateKnowledge
Translate knowledge(Value Creation of
knowledge ThroughInnovation &
Entrepreneurship)
Provide solutions Through
Real-World Experiences
6
Train innovators of tomorrow
•Curriculum that creates entrepreneurs to participate in Startups
• Graduates that job creators rather than job seekers
•Graduates that cares about humanity
Empower values-driven talents to be action-oriented leaders who deliver solutions that ensure sustainability of change
Engine of growthfor the nation
via commercialization of R&D products and development
of K‐based enterprises
Role and expectations of Universities in the globalised economy
17/8/2015
4
We are expected to go through
R –D –C – E- Community engagement (to help humanity and create wealth for the country)
as SOLUTION PROVIDERS
Expectations of Modern Universities in the Innovation Economy
Brains to Business to Humanity
7
Ministry OfHigher Education
The assets that drive economic success: Patents (indicate that research findings are industrially
applicable) Advanced research Venture capital University graduates and Ph.D.s Air, Rail and Sea hubs
*Source: Bruce Katz, TIME Magazine, 21st Oct 2010
Assets that drive economic success are in IHLs and RIs
8
Innovation drives Economic Success Ministry OfHigher Education
17/8/2015
5
Political Will
The need to develop innovative talents
Allocation of GDP for Research
Allocation of Research grants
9
How serious is a country about its R&D and the Innovation economy?
Ministry OfHigher Education
10
Political Will
9th Malaysia Plan : Government committed
RM 1.363 billion
FRGS : RM285 million
Implementing RUs : RM1.06 billion to
Establish and maintain HiCoEs : RM18 million
10th Malaysia plan : Secured RM 2.388 billion
Implement FRGS : RM1.539 billionRUs : RM800 million
HiCoEs : RM49.3 million
Ranked 35th out of 60 countries for having
1.07% gross expenditure on R&D
Technofund and Innovation funds are also
allocated to promote commercialization of research products
Malaysia has the political will to ensure that R&D is
the national agenda to drive the K-economy of
the country
Ministry OfHigher Education
17/8/2015
6
Phase 1: Consolidating Research
Phase 2: Consolidating Development
Design, engineering and technology integration
Phase 3: Consolidating Commercialization
Patent, Marketing, Entrepreneurship and licensing
R
Phase 4: Consolidating Knowledge-based enterprise (Research Park)
Research discoveries, acquisition of technologies
Spin off companies/ JV companies
Should see a smooth and
continuous flow of R-D-C-E
PHASE 1Making scientific discoveries
PHASE 2 Develop prototype
PHASE 3 Commercialize
PHASE 4 K-enterprise11
Moving Towards Successful New Economy: R&D Challenge
D
C
E
Ministry OfHigher Education
Reality check: Status of R&D in Malaysia
Phase 1: Consolidating Research
Phase 2: Consolidating Development
Phase 3: Consolidating Commercialization/Innovation/Technology licencing
Commercial arm of the University Entrepreneurship Spin-off companies JV Companies LicensingWHY are we
not there yet? Phase 4: Enterprises
12
R
D
C
E???
Ministry OfHigher Education
17/8/2015
7
Commercialization of research products
Commercialization of R&D products is not a simpleprocess
Latest figures showed that among Malaysian Public Universities, commercialization of local R&D products at 5.1 % in 6th and 7th Malaysia Plan (MP), 3.4% in 8th MP .Done mainly through consultation, licensing and entrepreneurship
It is linked with the innovation ecosystem of thecountry.
13
Ministry OfHigher Education
Quality of Innovative Human resource
• Curriculum lacks elements of creativity & innovation
• Limited pioneer mindset capability
Supply of Innovative
Human Resource
• Need 70 RSE per 10,000 workforce to be a developed nation.
• Current status: 57 RSE per 10,000 workforce
• Insufficient number of postgraduates
• Brain drain due to weak strategies to retain talent
Moving idea to The-Market-Place
• Weak internal ecosystem for innovation
• Low number of IPs and commercialization efforts
• Insufficient pre-commercialization grants
• Limited entrepreneurial skills and business know-how
• Limited communication between academia and industry
• Absence of full-fledged incubator facilities
Why are we not there yet?
14
Ministry OfHigher Education
17/8/2015
8
15
Why are we not there yet?
REASONS
Poor academia-industry relationship and hence companies do not deal very much with universities / Our dateline for deliverables are elastic.
MNCs do little RND with universities here since they are very dependent on their mother country. Perception of industry to the universities needs to change.
Universities are not collaborating with the industry fast enough
Ministry OfHigher Education
Why are we not there yet?
Progress in IP filed and attained
is low.
Academic patents are early stage technological
developments which is usually characterized by market
uncertainty
Majority of IP filed in Malaysia is owned by foreign multinationals
SMEs lack the resources and rarely involve itself in R&D
Industries want incremental improvements and university is
providing Blue sky research findings and discoveries.
(MISMATCH)
Weak academia-industry relationship since commercial
arm and TLO are run by academics
Ministry OfHigher Education
17/8/2015
9
11
The Universitas 21 report provides an assessment of Higher Education in 50 countries across four dimensions
CURRENT STATE OF HIGHER EDUCATION
SOURCE: Annual report by Universitas 21, a global network of research universities for the 21st century with 26 members that enro ll over 1.3 mil lion students and employ over 220,000 staff and faculty. The U21 Index compares national Higher Education systems for 50 countries
RESOURCES
12ENVIRONMENT
2
26CONNECTIVITY
3
35OUTPUT
4
44Malaysia
OVERALL
289 11 5 19 10
47 30 30 47 4250 37 25 50 4819 4 7 23 1518 39 32 18 21
TYPE OF METRICS USED
Singapore
Thailand
Indonesia
Hong Kong
South Korea
Government expenditure, investments, R&D
Qualitative assessment of policy and regulatory environment
Collaboration globally and with industryInternational student enrolment
Research outputInstitution rankingsEnrolmentEmployability
Averagescore of the four categories
4 3 15 1 121 16 3 2 816 8 8 6 9
USA
UK
AustraliaGlo
ba
l B
en
ch
ma
rks
As
ian
N
eig
hb
ou
rs
U21 Report: “28th Rank is expected for Malaysia’s income level”
Rank out of 50 countries1
PRELIMINARY
Addressing the gaps: the need for paradigm shifts
18
Ministry OfHigher Education
17/8/2015
10
Create the Right Ecosystemfor an Innovative Society
Education
Industry VenturesInnovative Society
Government
Innovation Ecosystem
Each component must move in harmony to
complement and synergize the efforts
of the others.
19
Ministry OfHigher Education
7Inovasion
Ecosystem
10 Shifts
Kerajaan
QuadrupleHelix
Universiti
Industri
Komuniti
Government
Universities
Industry
Community
LingkaranEmpat Pihak
1 2 3 4 5 6 8 9 10
CREST
PPRN
Collaborative Research in Engineering Science and Technology
Public Private ResearchNetwork
Establishing Support Systems for the Commercialisation of Ideas
ITMA; MyInnovationHub, Steinbeis Transfer Center
17/8/2015
11
Challenge to Enhance Commercialization : Need for Paradigm Shift
Commercialization is the ability to provide solution to a need that can generate income.
The solution is called an invention. Only when it has been commercialised is it called an innovation.
How we provide the solution can be seen in 2 forms:• University-driven (providing solution to either society or
industry by researchers; initiated by the researcher ), create IPRS, spin-off companies, talents for nation building, competitive edge in K economy
• Demand –driven (providing solution to industries: initiated by industries)
Both ways are known as commercialization of ideas or solution providers 21
Ministry OfHigher Education
Commercialisation of Ideas (Solution Providers)
Knowledge Workers
Contract Research
Intellectual Property
PublicationsConsultation
Training
Commercialisation of Ideas
ProductsServices/ Solution
Providers
22
Ministry OfHigher Education
17/8/2015
12
Innovation ecosystem
23
Malaysia needs to transform from a traditional, government-led, commodities-driven economy into a knowledge-centric economy.
Innovation ecosystems are essential to such knowledge-based growth.
Who’s job is it to
commercialize?
Commercialization is everybody’s job
University = Solution providers
Ministry OfHigher Education
24
Public-Private Research Network (PPRN) is a new initiative by Ministry of Higher Education (MOHE) as one of the strategies to increase
productivity and strengthen Malaysian economic development through innovation
and commercialization programs.
PUBLIC-PRIVATE RESEARCH NETWORK (PPRN)
Ministry OfHigher Education
17/8/2015
13
25
Public-Private Research Network (PPRN)
PPRN
Focus on demand driven research, via PPRN to provide solutions to SMEs
This is done to facilitate meeting with industries by design and no longer by chance.
The collaboration will move the companies up the value chain and enhance the bringing of solution to the market place.
Ministry OfHigher Education
• PPRN i s a quick win platform to drive the A‐I collaboration through knowledge and technology transfer program.
• The problem must be driven by industry or market and using the top down concept where the Universities or Research Institute must bid for the identified project
• The funding will come from the matching grant from the Industry/Company and the Government Agencies
• The program will increase the “Commercialization of Ideas” with the collaboration between Academia and Industry
• 9 projects took‐off in Jun 2014 worth RM216k. 100 more worth RM3m took‐off in November, 1000 Projects in 2015
Criteria• Duration • Relevance• Technical value of the solution• Experience of the research team• Encourage Institution
collaboration Cost• Win2 Projects
Industries(NKEAs)
PALM OILFINANCIAL SERVICES
TOURISM BUSINESS SERVICES ELECTRONICS & ELECTRICAL
WHOLESALE AND RETAIL EDUCATION HEALTHCARE
COMMUNICATION CONTENT AND
INFRASTRUCTUREAGRICULTURE GREATER KUALA
LUMPUR
(GLC, MNC, SME)(MIGHT‐Nano
Malaysia – CREST etc.)
Problem Definition Process
Project A
Project B
Project C
Technology Based Project Funded by Matching Grant
from Company and Government Agencies
Universities/Research Institutes Expertise‐20 IPTAs , 59 IPTSs, Majlis ProfesorNegara,
HiCOE, ICoE, Tech Transfer Offices‐16 Research Institute (SIRIM, IMR, FRIM,
MPOB, MINT, MIMOS etc.
Bidding Process
PUBLIC‐PRIVATE RESEARCH NETWORK(MTDC/SME CORP/MIDA/MOE)
Academia
Public-Private Research Network (PPRN) - Service/Solution Providers
17/8/2015
14
Total RU funding RM 3.54 billion (2007‐2014)Total RU *revenue RM 5.33 billion (2007‐2014)
Grant spent / patent
RM704K
Grant spent / (patent &
IP)
RM408K
Ratio commercialized product (306) :patent (7,234)
1:23 (4.2%)
Cost per commercialized
product
RM17m
Grant spent / publication
RM46k
115, 668
PhD and Masters produced
(2013)
Revenue from commercialization and technology licensing RM31mil (5RUs; 2010-2014)
Cumulative minimum RM 48.6 million (up to 2013)
50.6% ROI
RM5.1 billion
(2007‐2014)
Sumber : eMyRA
RETURN ON RESEARCH INVESTMENT (2007 -2014)
RM 37,175/ student
Total *Revenue of 20 IPTAs RM 6.56 billion (2007 – 2014)NRU = RM1.23B
* Income generated including courses, training, services, consultancies, PG students registration fees, gifts and endowment
28.6% ROI
27
Ministry OfHigher Education
28
Total IPs : 7,234 for 20 HLI’s
Commercialize project by 20 HLI’s for RMK 9 and RMK 10 : 306 by the
definition of -
Total of commercialize new product (produce income)
Total licensed knowledge technology (technology know-how)
4.2% commercialization
success rate
Commercialization (2007-2014)
Low ROI
Ministry OfHigher Education
17/8/2015
15
Talking about ROI
• In USA, commercialization of R&D provided a low ROI. Invested USD 147 billion in research with USD 90 billion going to the universities but generated around 5-10% return on investment.
• Problem is that we are too focused on numbers and not really on the impact of the patent to the marketplace. There is a need to come out with new measurements and indicators.
• A better metrics on technology transfer is needed.
• We need to measure the bigger picture of the technology transferred eg Korean model.
29
Ministry OfHigher Education
RM5.33Billion(solution provider)
RU as the Engine for Wealth Creation
30
Allocated for RU (2007–2011)
Wealth Creation(2010 – 2020)projected
Source : 1 – NKEA, 2010, 2 – RU Data Compilation, 2012
Key Contributors
•Jobs creation1
182,720RM 31Million
(comm of R&D product
RM3.54Billion
investment
Generated Revenue(2007 – 2011)
30
Ministry OfHigher Education
17/8/2015
16
31
Way forward
Government has to look on commercialization Ideas rather than focusing on commercialization of R&D products. Not all IPs can be commercialised due to mismatch with industry capability.
Most training , consultancy and research contracts have been executed together with the help of industry to increase the value chain of the sector. There is a need to evaluate the impact to the sector.
There is a need to look and evaluate the bigger picture of the technology transferred and not just concentrate on the number counts.
Ministry OfHigher Education
Ministry OfHigher Education
17/8/2015
17
7TH APRIL 2015
210 LONJAKAN
TalentExcellence
Empat Laluan Kerjaya
Pendidik Penyelidik PemimpinInstitusi
PengamalProfesional
(Educators) (Researchers) (Leaders) (Practitioners)
I II III IV
1 3 4 5 6 7 8 9 10
ProgramFakulti CEO(CEO Faculty)
(Four Career Path)
17/8/2015
18
MODE 1 MODE 2
• The CEO will Co‐teaching with a Professor on a particular subject at one selected Host University.
• The CEO will conduct Keynote Address/Public Lecture/Motivational Talk/Seminar/Advisory Panel etc. at Host and several Affiliate University
• Guest Speaker Invitation by MOHE (Minister):‐ Dr. Richard Parker (Group Director
of Research & Technology) Rolls Royce) – (UPM)
‐ Dato YasminMahmood (CEO MDEC) – (UTM)
‐ Alois Hofbauer, Nestle (Malaysia) Berhad Managing Director (UIAM)
Ministry OfHigher Education
Mode of Engagement
Group CEO, Air As ia Berhad
Independent Non‐Execi tive Chairman of Media Prima
Managing Director, KhazanahNational
Berhad
Pres ident of Redtone
International Berhad
Group CEO of CIMB Malaysia
Tan Sri (Dr.) Tony Fernandes
Tan Sri Johan JaafarTan Sri Dato’ Azman bin Haji Mokhtar
Datuk Wei ChuanBeng
YM Tengku Dato’ Zafrul Azizi
HOST UNIVERSITY 2015‐2016
Ministry OfHigher Education
CEOs Matching
17/8/2015
19
CMS Consortium Sdn Bhd.
Group CEO of Maybank Banking
Berhad
Managing Director, Shell Malaysia
Trading Sdn. Bhd.
CEO of PrestariangBerhad
CEO of Huawei Malaysia
Dato’ Seri Syed Zainal Abidin
Datuk Abdul FaridAl ias
Encik Azman Ismail Dr Abu Hasan IsmailMr. Abraham Liu
Kang
HOST UNIVERSITY 2015‐2016
Ministry OfHigher Education
CEOs Matching
Pres ident, Samsung Malaysia
Electronics Sdn. Bhd.
Pres ident & Managing Director,
Novartis Corporation
Pres ident B. Braun Medical Industries
Sdn. Bhd.
CEO of Jobstreet.com
Managing Director, Al ‐IkhsanSdn. Bhd.
Mr. Lee Sang HoonMdm. Michaela
DinboeckMs. Anna Braun
Mr. Mark Chang MunKee
Tuan Haji Ali Hassan Mohammad Hassan
HOST UNIVERSITY 2015‐2016
Ministry OfHigher Education
CEOs Matching
17/8/2015
20
Group Managing Director, iA Group
Sdn. Bhd.
Executive Chairman of Proven Holding
CEO, As ian Finance Berhad
Executive Chairman of Nusantara Technologies
CEO, PKT Logis tcsGroup Sdn. Bhd.
Datuk Hamzah bin Kassim
Dato’ Yusof JusohDatuk Mohamed Azahari Kamil
Adjunct. Prof. Dato’ Dr. Ghazali
Datuk Michael Tio
HOST UNIVERSITY 2015‐2016
Ministry OfHigher Education
CEOs Matching
Managing Director, Motorola Solutions Malaysia Sdn. Bhd.
Managing Director and Vice Pres ident, Altera Corporation
(M) Sdn. Bhd.
Mr. O HariNarayanan
Dato’ Dr. Mohd Sofi Osman
HOST UNIVERSITY 2015‐2016
Ministry OfHigher Education
CEOs Matching
17/8/2015
21
• Structured Internship• Practical Tra ining• Industry Led Curriculum• Adjunct Lecturers• Industry Centre Of Excellence
(ICOE) Program • Ind‐E‐Zone• Industry University CSR
Program• Scholarship Award• Professional Exam Program• Bridging the Gap Program• Entrepreneurship Program• Talks, Coaching, Mentoring
• Research Contract• Col laborative Research
Agreement• Cl inical Trial Agreement• Uti l izing Lab Facilities • Research Endowment• University Industry Research
Centre• Post Graduate Program
(Masters, PhD, Eng. Doc)• Industry Sabbatical
• Spin Off/ Startup Companies• IP/Technology Licensing• Incubators spaces at
Science/Technology Park• Co‐development of Universities
Land Banks• Academic Entrepreneurship
Program
ACADEMIA– INDUSTRY COLLABORATION
• PPRN Publ ic Private Research Network
• Solution Provider to Industry
• Industry Led Innovation Competition
• University as Expert Service Provider
• Continuing Professional Development (CPD) Tra ining
• Short Courses
Graduate Employability Research & Development Commercialization
Innovation Consultancy
Academia Industry
Collaboration
Ministry OfHigher Education
Graduate Employability
High Income Nation by 2020
Pendidikan Berkualiti InsanTerdidik Negara Sejahtera
NEW ACADEMIA-INDUSTRY NETWORK(BLUE OCEAN STRATEGY) MOE/PMO/MITI/MOSTISPT-JPT/TalentCorp/MIDA/MTDC-SMECorp
Industry CollaborationR.I.C.E and CSR
Component 1:• 1 Graduate 1
Industry/company• Academic Industry
Council• Talent Matrix• Pre-symbiosis• Cross Fertilization
A-I Program• Recognition A-I
Engagement• AINA• IND-E-ZONE
Component 2:
• Public-Private Research Network
• MyAIN Malaysia Extensive Networking/ Matching Event
Component 3:
Energyzing Tech. Transfer Office• AKEPT Training• Professional
Certification• Innovation and
Technology Managers Association
Component 4:
Strengthening Academia-Community Ecosystem• Science/Techno
logy Park• ICOE• CSR with
Academia• NBOS4
The Quadruple Helix ModelA-I-C-G Framework
Ministry OfHigher Education
17/8/2015
22
43
Ministry OfHigher Education