Cooperation between Universities and Industry in Finland

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1 EUA Conference Research in European Universities: Strategies and Funding Uppsala October 2005 Cooperation between Universities and Industry in Finland Rector Lauri Lajunen University of Oulu Finland

2 THE ESTEEM OF THE UNIVERSITIES During the history of universities their esteem has varied greatly. Our time emphasises the meaning of universities and they are highly appreciated. The esteem and importance of universities will remain high only if they manage to accept the challenges presented by modern changing societies. This cannot be successfully accomplished by using old attitudes, strategies and structures. At present we need to take into account globalisation, technological developments as well as environmental aspects and custom orientation.

3 THE MODERN UNIVERSITIES The modern university can be described with - social relevance and applicability and multi- and cross scientific. - Teaching and other merits have gained in importance. - Students have become an essential part of the scientific community and their learning is at the center of attention. - Research is conducted in groups.

4 THE ROLE OF THE UNIVERSITIES The Finnish universities are based on humboldian ideals of autonomy, freedom of research and teaching and the unity of research and teaching. These are still essential elements in the university but we have to be able to combine them with cooperation with other research and teaching organizations, with businesses and with officials: The needs of society have to be taken into account. However, it must be made clear that - universities shall not be the executors of every whim of businesses, - Universities must be pilots, - Universities must research that knowledge and those applications which society needs in five or twenty years.

5 UNIVERSITIES ARE AN ESSENTIAL PART OF THE FINNISH INNOVATION SYSTEM During the last ten years there has been about 40 % increase in the number of students. Most of this has been in the academic fields central to businesses, that is, natural sciences, technology and economics. Universities are an essential part of the national innovation system. Different departments, teachers and researchers cooperate closely with other universities, research institutes, businesses and politicians. Majority of academic diploma works are done on themes which interest the economic life.

6 The success of a state is more and more depending on the success of the regions Thus, it is important to create regional economic innovation centers

7 Pre-Requisites for Creating Regional Economic Innovation Centers 1. One or more great research universities 2. Industrial infrastructure 3. Financial capital 4. Intellectual property protection 5. A culture of innovation

8 The problem-oriented multiand inter-disciplinary research centers attract high-tech companies and their R&D units to the region

9 Universities should have: -Cooperation between education, research, authorities and enterprises - Clear profile in research - Top international level in research at the chosen areas

10 % GDP 4 R&D input in selected OECD countries Sweden FINLAND Japan USA Germany OECD average France United Kingdom Denmark Austria Norway estimate Source: OECD, Main Science and Technology Indicators 2002

11 billion 6 R&D input in Finland in , by actor estimate Source: R&D expenditure, Statistics Finland 2003 Business enterprises 71% Universities 18% Other public sector 11%

12 Researchers per thousand labour force: latest available year (1) Finland Japan Sweden US Belgium Denmark Germany France UK EU-15 (2) Netherlands Ireland Austria Spain Portugal Greece Italy 2,80 3,31 3,30 9,26 9,10 8,08 6,95 6,46 6,45 6,20 5,49 5,40 5,15 5,05 4,88 4,56 13,08 Source: DG Research Data: Eurostat, Member States, OECD Notes: (1) FIN, JP, E, P: 2000; UK, A: 1998; US: All other countries: (2) EU average does not include Luxembourg Researchers are full-time equivalents (FTE); labour force are headcounts (HC) Key Figures 2002

13 Salo Oulu Tampere Helsinki Turku Jyvskyl Kuopio Vaasa Forssa Porvoo Lappeenranta Joensuu Raahe Imatra Etel-Pirkanmaa boland-turunmaa Pori Kotka-Hamina nekoski Rovaniemi Jms Outokumpu Kajaani Varkaus Riihimki Rauma Heinola Hrmnmaa Hmeenlinna Pohjois-Lappi Lahti Kemi-Tornio Kokkola Jakobstadsregionen Mikkeli Lohja Pohjoiset seinnaapurit Sis-Savo Tammisaari Kaakkois-Pirkanmaa Kaakkois-Satakunta R&D activities by region in Finland in Region Euros per inhabitant R&D expenditure in proportion to number of inhabitants. Source: Statistics Finland Copyri

14 Universities in Finland in 2002 One of the most comprehensive university networks in Europe 10 multi-faculty universities Helsinki, Turku (2), Tampere, Oulu, Jyväskylä, Joensuu, Vaasa, Kuopio, Rovaniemi 3 universities of technology Helsinki, Tampere, Lappeenranta + Faculty of Technology in Oulu: 4669 students 3 schools of economics and business administration Helsinki (2), Turku + Faculty of Economics in Oulu: 720 students 4 art academies Vaasa Tampere Rovaniemi University of Oulu OULU Jyväskylä Lappeenranta Kuopio Joensuu Turku Helsinki

15 University of Oulu

16 University of Oulu Northern Gateway to Knowledge Founded 1958 Students admissions 2424 Staff 3225 professors 250 Awarded Degrees 1523 first degrees 1247 doctorates 130 Expenditure 206,6 M state budget 140,9 M external funding 65,7 M

17 Faculties and Disciplines Faculties Humanities (2261) Education (1886) Science (4077) Medicine (1953) Economics and Industrial Management (809) Technology (4843) Other disciplines dentistry (210) health care (336) There are 45 training programmes in all (student numbers are in brackets)

18 The University s Primary Regions of Influence Geophysical Observatory Research Liaison Officer (OY, LY) Sodankylä Meri-Lappi Institute Research Liaison Officer Kemi Rovaniemi Kuusamo Oulanka Research Station Naturpolis Kuusamo Perämeri Research Station Graduate Engineer Training Program Chydenius Institute (JY) Research Liaison Officer(OY, JY, VY) Hailuoto Raahe Kokkola University of Oulu OULU Nivala Kajaani Department of Teacher Education Kajaani University Consortium Oulu Southern Institute Vaasa Iisalmi Kuopio Research Liaison Officer (OY, KY) Jyväskylä Joensuu Tampere Lappeenranta Turku Helsinki

19 Mission The University of Oulu is an international research university, whose central mission is to promote culture and wellbeing especially in northern Finland. The University provides a high-quality learning environment, in which both specialists and generalists are given a thorough grounding for demanding tasks in the national and international arena.

20 Expenditure of the University of Oulu in other sources ,9 49,9 54,4 57,5 69,6 75,7 state budget ,7 123,7 126,2 135, ,9 0 M

21 Major financing sources outside the regular state budget of the University of Oulu Tekes and companies Academy of Finland EU framework prog. EU struct. Funds Other EU financing

22 Focus areas: 1. University is internationally strong at these areas 2. These areas are important for the economic and cultural life of the region

23 Research in Focus Areas Information technology (Infotech Oulu, CWC) Electronics and system engineering, communications engineering, computer science and information engineering, software engineering and information systems (machine vision, automation, multimedia) Biotechnology (Biocenter Oulu) Biosciences, biomedicine, molecular and cellular biology Northern and Environmental issues (Thule institute) Global change in the north, circumpolar health, northern activity Sustainable use of natural resources, cooperation with Environmental Administration, link to industry and commerce

24 Northern and Environmental Issues Programme manager Global Change in the North Programme manager Circumpolar Health and Wellbeing Programme manager Land use and Land cover M U L T I D I S C I P L I N A R Y R E S E A R C H C O - O P E R A T I O N W I T H R E S E A R C H I N S T I T U T E S C O - O P E R A T I O N W I T H S M E s & I N D U S T R Y M.Sc. - and PhD - level Graduate Schools Co-ordination ordination and Development of Joint Basic Studies Services and Facility Development Faculties of the University Research stations Giellagas Institute

25 NorNet Northern Environmental Research Network Finnish Forest Research Institute MTT Agrifood Research Finland Other Research Institutes Finnish Environment Institute, Regional Environment Centres in Kainuu, Lapland and North Ostrobothnia Professor Research professor Research professors Coordination UNIVERSITY OF OULU Other Universities NorTech Oulu Unit Finnish Game and Fisheries Research Institute Research professor Environmental Enterprisers Geological Survey of Finland GTK

26 Innovations in Regional Development - The Oulu Model is a good example of European good practice Triple Helix model, where enterprises, research and public sector have established a successful partnership. - Regional multi-centre models are needed in order to deliver critical mass of innovation outside the growth centres. - More effective push of the Multipolis Network programme, where the Oulu Model has been delivered to the smaller centres in North Finland, Sweden and Norway.

27 TECHNOPOLIS Plc 200 companies employees INFORMATION TECH. Info-technology, mobile technology etc jobs Town planning OULU SUB-REGION Spin-offs Experts OULU UNIVERSITY students in technical faculty Common R&D Test platforms IT-application promotion Education Common Professionship Students, Trainees Equipment Funding OULU POLYTECHNIC 7300 studets STATE UNITS TEKES TE-CENTRE Provincial office inhabitants OULU GROWTH AGREEMENT VTT 320 employees 300 in electronics

28 Oulu Growth Agreement 2006 Clusters Information Technology Content and Media Wellness Cluster Biocluster Environment Programme Agreements Objective 2 Programme Business Development Programme Logistics Programme

29 TECHNOPOLIS GROUP Oulu Helsinki Metropolitan Area Sector s s leading company in Finland Business environment as a product High tech customers Growing and well profitable Listed on the main list of the Helsinki Exchanges

30 Promoting business Information society INFORMATION INDUSTRY WELLNESS INDUSTRY Wellness society Internationalisation Enhance domestic and global networks

31 Recent Challenges for University Research 1/4 1. Basic funding from the state has decreased and gets more unpredictable -> universities must specialize -> the funding basis must become more diverse 2. University involved in regional and economical development -> technology transfer -> knowledge transfer -> intellectual property

32 Recent Challenges for University Research 2/4 3. Research depends on large investment (equipment, special buildings etc.) -> rules and regulations needed for transfer of materials etc. -> who should own the results? 4. New ethical problems in research -> increased competition -> conflict of interest

33 Recent Challenges for University Research 3/4 5. More and more international and interdisciplinary R&D projects (European Union, others) -> contract matters -> professional project development and management 6. Commercial exploitation of research results becomes more important -> intellectual property rights -> finding the right exploiter -> negotiating the licences

34 Recent Challenges for University Research 4/4 7. Increased requirements for predefined quality in research 8. Matters of compliance become more important -> human subjects -> genetically modified organisms -> animal experiments

35 What do companies expect to get from the University? Intellectual capital in the form of: well educated people readily applicable R&D results Something they cannot expect, results of basic research generic inventions improvement of methods

36 The University should have a conscious research policy and technology transfer policy a professional research administration appropriate rules and regulations

37 Research and Innovation Service Unit at the Univ.Oulu a service that helps the researchers at the University of Oulu in all issues related to research projects and to the exploitation of results

38 Functions of Research and Innovation Service Unit strategy and day-to-day operations sponsored research technology transfer

39 Research and Innovation Services, RIS FEASIBILITY STUDY -Financier -Partners -Prior of Art ADMINISTRATION LEGAL SERVICES -Negotiation process -Contract models -Univ. policy of IP RESULT EVALUATION -Protection -Market potential IMPLEMENTATION -New start up -Existing company LICENSING PLANNING -Project plan -Pre-TIP CONTRACT RESEARCH WORK -Lab. notebook PUBLISHING -Scientific papers -Project report -TIP2 PUBLIC DOMAIN

40 number of ideas ~100 Innovation Model HIGH INTEREST OF RESEARCH MARKET POTENTIAL Tech. transfer project Option agreement License agreement I n MARKET ENTRY 10 I 2 I 1 I 12 I 1n I BASIC RESEARCH UNIVERSITY -5 APPLY RESEARCH UNIV & COMPANY 0 t PRODUCT DEVELOPMENT COMPANY

41 Innovation Process in Oulu University RESEARCH BASE PRE-INCUBATOR ACTIVITIES COMMERCIALIZATION 1. Pre-evaluation of Research Results and Ideas Environmental research 2. IPR evaluation and Protection 3. Implementation Plan / Business Plan 1. Entrepreneurship training programmes NorNet ITC Infotech Oulu 1. Financial Support 1. University of Oulu 2. Foundation of Finnish Inventions 3. Technology Agency Of Finland /TULI Biotechnology Biocenter Oulu New Hightech Start ups /Technopolis Oulu Incubator /OuluTech Ltd. License Agreements with a 3rd Party /Licentia Ltd.

42 Innovation process at the University of Oulu RESEARCH EXPLOITATION PUBLIC PARTNERS Free Academic Research Co-financed Research License Agreement START-UP - Oulutech Ltd. (incubator) LICENSE Contract Research Technology Transfer Agreement CONTRACT PARTNER PRIVATE

43 Division of net incomes GROSS INCOME (royalties, fees, payments, etc) Reimburse costs (patenting, etc.) 1 2 NET INCOME 20% Laboratory 60% Inventors 20% University

44 Innovation activity in 2004 Patent portfolio: total 9 patents/ patent applications 1 in biotech New Invention Reports 4 in electronics 2 in telecom 1 in physics 1 in medical technology Technology Transfer: number of cases licence agreements yrs 17 technology transfer agreements

45 Co-operation Between Universities and Foundation of Finnish Inventions Espoo / HUT 2 Helsinki Helsinki / university 3 Helsinki / HKKK Joensuu Jyväskylä Jyväskylä / university Kajaani Kemi Kuopio Kuopio / university Lahti Lappeenranta Lappeenranta / LUT Mikkeli Oulu / university Oulu Pori Rovaniemi Seinäjoki Tampere / TUT Turku Turku / universities Vaasa

46 Northern Lights of Knowledge Thank You for Your attention.

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