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Collaboration between Small and Medium-sized Enterprises (SMEs) and Higher Education Institutions (HEIs) is vital for effective knowledge transfer. However, several challenges arise, including structural differences, varied goals, and bureaucratic hurdles. Understanding the unique needs and dynamics of SMEs, such as their limited resources and decision-making processes, is critical. This guide discusses strategies to simplify bureaucracy, clarify research, and foster trust and professionalism within the SME-HEI collaboration framework, ultimately aiming for successful innovation and market alignment.
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Knowledgeand Technology Transfer - Challenges in Cooperating -
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • Clarify Research • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME HEI – SME interaction in applied research is an essential tool in the context of knowledge transfer Possible obstacles: • Structural differences • Different goals • Different ways to get there • Systematical differences
Challenges of Collaboration with SME Social implications for troubleshooting: • Trust • Professionalism • Awareness • Commitment
Challenges of Collaboration with SME-SME Structure – Understanding an SME- To work together with SME it is important to get a sense of their decision processes Hierarchy Matrix Organisation Management Management Sales Logistics Buying Center Sales Logistics Buying Center Private Customers Business Clients Intern
Challenges of Collaboration with SME-SME Structure – Understanding an SME- Most SMEs have very limited capital, human or financial. They are very time-constrained • Time is money • Understaffed SME’s. • Management unable to delegate. • Competitive pressure.
Challenges of Collaboration with SME-SME Structure – Understanding an SME- Being your own boss is a dream of every company owner. Unfortunately it is to remain that way– merely a dream
Challenges of Collaboration with SME-SME Structure – Understanding an SME- Pragmatism might be the word – and the key! What to expect from an SME: • The key driver-financial benefit • Reasonable timeframes • Owner/manager holds multiple responsibilities • Intimidated by legalese • Impatient
Challenges of Collaboration with SME -SME Structure – Understanding an SME- SME’s are a very interesting partner for your research • SME owner/managers are pragmatic • “Real world” players • They are used to disappointment • Firm, but fair • They value honesty
Challenges of Collaboration with SME-SME Structure – Understanding an SME- • SME owner/managers are intuitive • SME owner/managers can make decisions quickly • SMEs are very agile • Usually prepared to embrace new ideas
Challenges of Collaboration with SME- Summary – Understanding an SME- • Many SMEs have very limited capital, human or financial. • Time is literally money – 6 months is forever
Challenges of Collaboration with SME-Summary – Understanding an SME- • Outside pressures can shipwreck an SME e.g. bank, Increasingly return has to be within a timeframe that an SME can justify to banks and investors
Challenges of Collaboration with SME-Summary – Understanding an SME- Multi-tasking! (Finance Director, marketeer, researcher....)
Challenges of Collaboration with SME-Summary – Understanding an SME- • Operate in an extremely competitive environment • Often obsessed about protecting IPR
Challenges of Collaboration with SME-Summary – Understanding an SME- • Usually strong connection to particular region – may be culturally constrained
Challenges of Collaboration with SME-Summary – Understanding an SME- • Entrepreneurs can be intimidated by legalese
Challenges of Collaboration with SME-Summary – Understanding an SME- • Entrepreneurs hate bureaucracy!
Challenges of Collaboration with SME-Summary – Understanding an SME- • Entrepreneurs are impatient (so make boundaries clear from the outset)
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • Clarify Research • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME-Understanding the needs of the market- Customer needs are a part of innovation. This is called market orientation – or if you are an SME: Surviving. • The Market • The Customers • Innovation
Challenges of Collaboration with SME-Understanding the needs of the Market- Trust andcommunication • HEIs don‘t understand theCurrent Market • Trust the SME • SMEs havetoCommunicate • SMEs must Convey
Challenges of Collaboration with SME-Understanding the needs of the Market- • Narrowthinking in businesses • SME focuses on what makes them excited • As an SME grows in size, the more difficult it becomes to be innovative • The collaboration of a HEI and SME better satisfies the market! http://academicearth.org/lectures/innovate-in-technology-and-business-founding-google
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • ClarifyResearch • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME-Clarifying Research- Changing research practices. • Distinction • Increasing tension • Emphasis on research teams and alliances • Growth of research commercialization
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • Clarify Research • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME-Simplifying HEI Bureaucracy- There is a subtext in current technology transfer policies and the media • Universities not well informed • Not sufficiently focused • Pre-disposition towards US solution/ methods
Challenges of Collaboration with SME-Simplifying HEI Bureaucracy- • Taking a proactive, outreaching role • HEIs can be very intimidating for SME’s • R & D should be established. • R & D involved in collaboration. • Establish a visible “entry point” • Guide SMEs
Challenges of Collaboration with SME-Simplifying HEI Bureaucracy- • Given that research practices are changing and the pressures to deliver significant outputs are intensifying, “[t]he key question is how to structure and organise teaching and research in the universities” (Gibbons et al, 1994).
Challenges of Collaboration with SME -Simplifying HEI Bureaucracy- • Build strategic alliances and enable synergies • Help with public funding • Integrate entrepreneurial culture • Shape what should be done • Optimal use of scarce resources • Align institutional competencies
Challenges of Collaboration with SME-Simplifying HEI Bureaucracy- • Map priorities and competences • Identify goals and objectives • Implementation plan • Appropriate structures • Encourage faculty
Challenges of Collaboration with SME-Simplifying HEI Bureaucracy- • Widen definition of research. • Determine the teaching and research • Distinguishing • Linking research/ commercialization
Challenges of Collaboration with SME-Simplify HEI Bureaucracy- • Greater research time • Targeted grants • Promotional opportunities • Enhanced facilities • Internships with industry or other partners • Salary increases • Sabbatical leave
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • Clarify Research • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME- What an entrepreneur offers you - • Prepared to embrace new ideas (but only if the benefits are obvious)
Challenges of Collaboration with SME- What an entrepreneur offers you - • Intuition for what has commercial potential and what hasn’t
Challenges of Collaboration with SME- What an entrepreneur offers you - • Pragmatism: • Can handle disappointment • Can make decisions quickly
Howtogetthere? • Understanding an Entrepreneur • Understanding the needs of the market • Clarify Research • Simplify Bureaucracy • Understand what an entrepreneur offers you • IPR
Challenges of Collaboration with SME- Intellectural Property (IP) - • WhatisIntellectual Property? • Whatrights do I haveconcerning IP? • Andwhatis an IP Agreement? http://www.youtube.com/watch?v=pvWEvkom-8s&feature=related
Challenges of Collaboration with SME- Intellectural Property (IP) - An essential aspect of collaboration with a SME is working together with them in protecting your innovations. • Beknowledegable • Establishing a commercialised relationship • The process
Challenges of Collaboration with SME- Intellectural Property (IP) - • Substantial confidentiality agreements • Seem to exclusively focus on protecting the HEI • SMEs can’t always afford to appoint solicitor specialists
Challenges of Collaboration with SME- Intellectural Property (IP) - • Entrepreneurs: • Are often reluctant to open up and share ideas (Crown Jewels) • Need to be reassured that they will benefit - building a trusting relationship is essential
Challenges of Collaboration with SME- Intellectural Property (IP) - • Entrepreneurs are: • Easily spooked • Turned off by weighty confidentiality agreements • Suspicious that agreements will favour the HEI to their detriment • often unwilling to appoint specialists to check agreements
Summary ofPresentation • HEI benefits: • -Extra income • -Seed money • -Better teaching • -Satisfaction of work Posed challenges: -Structural differences -Different goals -Different ways to get there -Systematical differences
End Results Everybody’s happy… • Highly qualified personnel • Wonderful innovation systems
End Results • Commercialization of Research • Publication Opportunities • Legitimacy • Image • Public Funding The type of collaboration and results we are striving for! http://www.youtube.com/watch?v=Leh74zliLyw