1 The role of Innovation Intermediaries in Technology Venturing Prof. Luigi Cantone, University of Naples Federico II Ph.D. Nicola Cirillo, University of Naples Federico II Ph.D. Pierpaolo Testa, University of Naples Federico II N.B. Non è consentito l uso in qualsiasi forma esso avvenga dei contenuti della presente presentazione.
2 Purpose The paper explores the role of Innovation Intermediaries (II) in Technology Venturing (TV) Design/Methodology/Approach Case study researchapproach: ASP-Area SciencePark (Trieste, Italy) Qualitative in-depth interviews with key actors of the organizations (ASP s management, start-up CEO). On-going research ( ) Findings/Originality The innovation intermediaries are strategic enabler of entrepreneurship in TV. According with literature review and case studies the findings confirm that Innovation Intermediaries do inherent activities: Networking, Technology development, Other. Managerial supporting activities are operated too. The activities, competencies and role of Innovation Intermediaries is strategically determined by the origin of business idea and the capabilitiestv team. Research Limitations A case study approach adopted. Furthermore the experience of TV in Area Science Park has been introduced recently (2008). Few ASP s firms have been considered to analyze the effectivenessof TV process. Implications Insights of TV role and process for Innovation Intermediaries. Role and activities of Innovation Intermediaries in TV under perspective of Policy Makers. Managerial implication for Start-up in TV.
3 Too many definitions, not a single class of research for Innovation Intermediaries University Research Park (Link, Scott, 2007; Rothaermel, Agung, Jiang, 2007 ) Science Park or Science, Technology and Research Park (IASP, 2013) Business and Innovation Centre (EBN, 2013) Business Incubator (NBIA, 2013) Knowledge Intermediaries (Millar, Choi, 2003) Regional Institutions (Mc Evily, Zaheer, 1999) Knowledge Brokers (Hargadon, 1998) Intermediary level bodies (Van der Muelen, Rip, 1998) Intermediaries (Watkins, Horley, 1986; Seaton, Cordey-Hayes, 1993; Braun, 1993; Callon, 1994) Innovation Intermediaries ( An organization or body that acts as an agent or broker in any aspect of the innovation process between two or more parties. Howells, 2006) 3
4 Theoretical Background Resource based Transaction Cost Economics Competence based Knowledge based Dynamic Capability Resources based Theories Meso-social level Innovation Intermediaries in Technology Venturing Interorganizational Network Micro -social level Individual level Triple Helix Innovation Systems
5 Tipical Intervention Areas of II The role of Innovation Intermediaries in Technology Venturing Technology Transfer Entrepreneurship / Technology Venturing Innovation Intermediaries Innovation Management Knowledge Intensive Business Services (KIBS)
6 Activities of Innovation Intermediaries for TV Management Supporting Activities Technology Development Activities Validation of business idea (mentoring) Formulation of business model Mobilizing managerial resources Validation of new technology Mobilizing Technical knowledge and resource Suggest new R&D projects Inter-organizational Network Activities Facilitate business network, reducing transaction costs Accreditation, Promotion Mentoring relationship Other Activities Socio-Economic Animateur role Enhance innovation systems, facing innovation gap Counsel of Policy maker in technology venturing
7 The Innovation Intermediaries Life Cycle Activities & Role Collecting public fund Stimulating idea generation Intermediation Competencies building Istitutional Promotion Competencies Mapping TTO & Supporting office Management competencies developing Mentoring Networking Facing System s Innovation Gap Enhance Innovation System Technology Foresight Counseling to Policy Makers New geographical areas expansion Time Animateur Role Enabler in TV Role Prof. L. Cantone, Ph.D. Nicola Cirillo, Ph.D. Pierpaolo Testa University of Naples Federico II Steering for Area Innovation Policy 7
8 ASP Life Cycle Promotion and Marketing of Park Technology Venturing Technology transfer focus 1st 2nd 3rd 4th 5th Strategic Focus Target Firms and pubblic laboratories attraction Competence mapping in public innovation Competence mapping in private innovation Private firms and pubblic laboratories Researchers Managers Creative dialogue and competence integration Strategic orientation Firms' R&D departments Researchers, professionals and entrepreneurs Service Offered Actions Leverages Localizative advantage promotions PR and lobbing Competence Catalogue Research Competences exploitation Expert list Networking with professional experts Network of experts and competences (competence centers) New solutions and patent orietation Start up creation and supporting, place strategy ridefinition Management support Technology Develop. Networking, Other Projects to implement Novimpresa (1996/2001); Sister (2001) Albo degli esperti - Novimpresa (1996/2001) Innovation network (2003); Innovation Campus (2006) Innovation Factory (2005); Innovation Team (2006) 8
9 The process of TV in ASP Technology venture process Selection and on board phase Pre-incubation (12 months) Incubation 1 rst phase (12-36) Incubation 2 nd phase (36 and more months) Scouting or selecting spontaneous candidatures Supporting Innovation Teams Supporting, financing business model exploitation Supporting equity modeling and market networking Scouting of entrepreneurship new ideas among research products (Sister project) Scouting of entrepreneurship new ideas among professionals and entrepreneurs Selecting spontaneous candidates Evaluation (technical committee) and project adaptation Proposal to the ASP board Team definitions Office giving; Financial support: budget of Euro each team; Marketing education POLIMI; Coaching of Education Service in ASP; Mentoring; T.O. Questioning; Internal Networking Technology and market testing. Start up events (Barcellona, Istanbul, Unicredit/La Sapienza); Market networking by events participation; Promoting firms of ASP; Product assortment extension counseling; External market Networking in Calabria, Basilicata e Campania; Horizontal informal information sharing; Experimenting vertical relationship model in Pomezia Selling the equity shares for statute rule within 36 months; Private equitying, financial institutions o business angels; Networking on national and international Projects; Evaluation in terms of impact on place and not maximization of capital gain (about 20%). 9
10 Discussion Point According with literature review and case studies investigated (ASP and three new firm incubated) the findings of empirical study confirm that Innovation Intermediaries are strategic enabler of entrepreneurship in TV and implement inherent activities: Networking, Technology development, Other. Managerial supporting activities (questioning, mentoring, education, coaching, business model and business plan definition, market networking) are operated too. This findings is often underestimated in Innovation Intermediary literature; The activities, competencies and role of Innovation Intermediaries is strategically determined by the origin of business idea and by the capabilities of the potential entrepreneur Very important in ASP activities for TV is financial support and capital equity contribution, not only during start up phase but, for new firm incubated, after Asp has sold its equity share (within 36 months) 17
11 Research limitation points and managerial implications Research Limitations 1. A case study approach has been adopted. 2. Furthermore the experience of TV in Area Science Park has been introduced recently (2008) and it is yet in its growth phase. 3. New firms and technology parks have to be considered in empirical survey to analyze the phase and effectiveness of TV process under innovation intermediaries perspectives. Managerial Implications 1. Insights of TV role and process for Innovation Intermediaries. Which activities to be implemented and for which purposes; 2. Role and activities of Innovation Intermediaries in TV under perspective of Policy Makers. Which are the benefits, Where and when support innovation Intermediaries in terms offinancial resources for Technology venturingand start up development; 3. Managerial implication for Start-up in TV. The pre-incubation of a new entrepreneur idea has great potential of success if managed in Innovation intermediary in terms of business model definition, resource acquisition and capital equity, technology development and internal and external networking. 18