SME Engagement in CSIRO

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1 SME Engagement in CSIRO Michael Egan Director SME Engagement 26 August 2014 CSIRO SME ENGAGEMENT

2 Positive impact

3 Darwin Cairns Atherton We develop 832 postgraduate research students with our university partners Murchison Alice Springs Townsville 2 sites Rockhampton Toowoomba Gatton Bribie Island Brisbane 6 sites 64% of our people hold university degrees over 2000 hold doctorates over 500 hold masters Perth 3 sites Geraldton 2 sites Adelaide Myall Vale Narrabri Parkes Mopra Irymple Griffith 3 sites Sydney 5 sites Wodonga Newcastle Armidale 2 sites Canberra 7 sites Budget $1B+ Flagships 9 Belmont Geelong Melbourne 5 sites Werribee 2 sites Sites 55 Who we are Hobart Sandy Bay People 6035

4 Who we are People 6035 Darwin Sites 55 Cairns Atherton Flagships 9 Alice Springs Townsville 2 sites Budget $1B+ Rockhampton 64% of our people hold university degrees over 2000 hold doctorates over 500 hold masters We develop 832 postgraduate research students with our university partners Perth 3 sites Murchison Geraldton 2 sites Adelaide Toowoomba Myall Vale Narrabri Parkes Mopra Gatton Irymple Griffith 3 sites Sydney 5 sites Belmont Geelong Wodonga Werribee 2 sites Hobart Sandy Bay Newcastle Bribie Island Armidale 2 sites Canberra 7 sites Melbourne 5 sites Brisbane 6 sites

5 We re changing the way we operate Our Flagships are successful and are emulated around the world. We currently invest 65% of our effort in Flagships and we will increase this focus on the nation s challenges and priorities. This will: differentiate CSIRO nationally and globally make us easier to deal with and a simpler organisation in which to work lay the foundations for CSIRO to be a sustainable, global organisation delivering for Australia

6 OPERATIONAL APPROACH RESOURCES CONNECTEDNESS PEOPLE ENVIRONMENT LEADERSHIP INNOVATION CAPABILITIES Flagship Collaboration Fund Science Excellence Service Centres Eg: Payroll, Accounts Payable/Receivable, IM&T Help, HR/HSE Help, Property Engagement & Commercial Eg: BD&C, Comms, Contract Admin SUPPORT SERVICES (Internal) COMPETITIVE FUNDS Shared Services Eg: Strategy, Finance, HR/HSE, IM&T, Governance SUPPORT Through-chain collaboration for impact delivery on domains PROJECTS CAPABILITY HOMES & DELIVERY Technical Services and Testing Future Platforms and pan-flagship impact projects managed explicitly within and across Flagships ~15% Future Platforms, ~15% pan-flagship projects Other major infrastructure? ~100 empowered units with coherent missions and empowered leadership, deploying staff to projects and collaborating across lines and units. Publishing FUTURE Food & Nutrition FLAGSHIPS Agriculture Australian Collections Education Australian Collaborative Innovation Network Advisory, SME Engagement & Ventures Manufacturing Land & Water Mineral Resources Oceans & Atmosphere Biosecurity Digital Productivity & Services Energy Australian Animal Health Laboratory Marine Research Vessel Australian Telescope National Facility / ASKAP SERVICES IMPACT SCIENCE NATIONAL FACILITIES Our future operating model OPERATIONAL LINES

7 Our future operating model OPERATIONAL LINES NATIONAL FACILITIES IMPACT SCIENCE SERVICES Australian Telescope National Facility / ASKAP Marine Research Vessel Australian Animal Health Laboratory Australian Collections FUTURE FLAGSHIPS Agriculture Biosecurity Digital Productivity & Services Energy Food & Nutrition Manufacturing Land & Water Mineral Resources Oceans & Atmosphere Advisory, SME Engagement & Ventures Australian Collaborative Innovation Network Education Publishing CAPABILITY HOMES & DELIVERY ~100 empowered units with coherent missions and empowered leadership, deploying staff to projects and collaborating across lines and units. SUPPORT Other major infrastructure? SUPPORT SERVICES (Internal) Future Platforms and pan-flagship impact projects managed explicitly within and across Flagships ~15% Future Platforms, ~15% pan-flagship projects PROJECTS Through-chain collaboration for impact delivery on domains Shared Services Eg: Strategy, Finance, HR/HSE, IM&T, Governance Engagement & Commercial Eg: BD&C, Comms, Contract Admin Service Centres Eg: Payroll, Accounts Payable/Receivable, IM&T Help, HR/HSE Help, Property Technical Services and Testing COMPETITIVE FUNDS Science Excellence Flagship Collaboration Fund INNOVATION CAPABILITIES LEADERSHIP ENVIRONMENT PEOPLE CONNECTEDNESS RESOURCES OPERATIONAL APPROACH

8 Our Flagships AGRICULTURE BIOSECURITY DIGITAL PRODUCTIVITY AND SERVICES ENERGY FOOD AND NUTRITION LAND AND WATER MANUFACTURING MINERAL RESOURCES OCEANS AND ATMOSPHERE

9 Our success pillars National Flagships Science Excellence Deep Collaboration Innovation Organisation Trusted Advisor mission directed 1 1 top % open for business future building no.

10 Our roles and point of difference We re the most multidisciplinary organisation in the world in applied research We have a vital role as a connector and trusted advisor We re also looking to further build on our critical role with national facilities, Flagships, SMEs, industry We re helping large and small companies be competitive We need to be clear on our role around national facilities that sets us apart

11 What we do: our distinct role Large scale Multidisciplinary Mission directed We provide scientific responses to major national and global challenges Our research Flagships promote radical innovation to reshape industries We take a collaborative approach to scientific research and delivery

12 The global landscape Increasing globalisation of science and technology Challenges have no boundaries Organisational, discipline, cultural, geographic Complex and interconnected Require cross-organisational and cross-disciplinary collaboration

13 Global Precincts Defined geographic locations of capabilities that open up possibilities for social contact Proximity is important, but it is more than physical Talent is the single most important factor Science is not the only player

14 Global connections: impact partnerships 80 + countries

15 Our focus on industry 1,600 AUSTRALIAN COMPANIES MULTI- NATIONALS SPINOUTS INTERESTS IN 34 BIG AUSTRALIANS & SMEs 90 NEW LICENSES 34 = $1BILLION $120MILLION 300 +

16 Articulating triple-bottom-line impact Economic reducing costs, increasing revenue, improved productivity Social improved health & wellbeing, safety, increased social cohesion Environmental reducing pollution, maintaining biodiversity PLUS Contributing to national/global knowledge National preparedness to respond to emerging issues and events Some impacts are more tangible than others 16 Impact briefing pack version 1.0

17 CSIRO s Impact Framework What it is FEEDBACK LOOPS Inputs Activities Outputsts Outcomes Impact ENGAGEMENT Planned work Intended results Within your control Outside your control 17 Impact briefing pack version 1.0

18 METHODOLOGY CSIRO s Impact Framework How it works Inputs Within your control Activities Planned work FEEDBACK LOOPS Outputsts ENGAGEMENT Outcomes Intended results Impact Outside your control DEFINITION Resources applied to deliver activities, such as budget, people, equipment, etc. Actions taken or work performed through which inputs, such as funds, technical assistance and other types of resources are mobilised with the intention of achieving specific outputs. The research solutions, services, and/or capacities that result from the completion of activities within a research portfolio or project. The intended or desired medium term effects /change expected to be realized from successful delivery of research outputs. It usually requires the collective effort of partners. An effect on, change or benefit to the economy, society or environment, beyond those contributions to academic knowledge. The desired change at this level is through the collective effort of partners and outside the control of the research manager. EXAMPLES staff FTE non-staff FTE appropriation funding external funding grants in-kind contributions equipment/facilities research/technology development education industry engagement (incl. SMEs) international engagement Publications prototypes patents granted training packages students completed new services new/updated standards reports Uptake Training accessed by users adoption of new research protocols and techniques Adoption industry, government &/or community usage process changes implemented behavioural change sales of new products licenses / IP sold Economic impact increased economic activity higher quality workforce productivity improvement Environmental impact water savings habitat rehabilitation prevention of invasive species reduced CO 2 emissions Social impact expand knowledge economy improved health & wellbeing reduced morbidity increased social cohesion 18 Impact briefing pack version 1.0

19 SME Engagement Centre SME ENGAGEMENT CENTRE

20 Why CSIRO should engage with SMEs Improve CSIRO s business Identify new needs and uses for research knowledge Penetrate SME market (SMEs make up 70% of employment and 57% of industry value added in Australia) Develop relationships with SMEs that have high growth potential Diversified portfolio of clients Aligned with CSIRO strategy Deep collaboration and connection with SMEs Be a trusted advisor to government Science excellence through developing people and supporting precincts Grow impact of flagships National wealth creation Increase global competitiveness and growth of SMEs leading to increased industry growth, employment, financial turnover and exports Deliver to industry Increase understanding of how to use R&D to gain competitive advantage Access to knowledge and capabilities Building capability awareness within Australian industry Develop staff Experience and understanding of industry and practical implications of research Increased opportunities

21 Science and Industry Research Act 1949 Part II The Commonwealth Scientific and Industrial Research Organisation 9 Functions of the Organisation (1) The functions of the Organisation are: (a) to carry out scientific research for any of the following purposes: (i) assisting Australian industry; (ii) furthering the interests of the Australian community; (iii) contributing to the achievement of Australian national objectives or the performance of the national and international responsibilities of the Commonwealth; (iv) any other purpose determined by the Minister; (b) to encourage or facilitate the application or utilization of the results of such research; (ba) to encourage or facilitate the application or utilisation of the results of any other scientific research; (bb) to carry out services, and make available facilities, in relation to science;

22 SME engagement centre Purpose and Objectives Link SMEs to CSIRO and other research organisations to drive knowledge transfer Empower SMEs to become more innovative and competitive Provide support and advice to SMEs Be a trusted advisor to SMEs, industry and government Build a strong innovation landscape for SMEs through supporting precincts and communicating impact Structure Engagement manager located in VIC, SA, WA, QLD and NSW that is networked with local SMEs, industry associations and government Director, communications/marketing officer, and strategy officer located in VIC Engagement managers are part funded by Dept of Industry Centre acts as an enterprise function and reports to Services Measurement Deliver projects with SMEs

23 Critical elements Capability Willingness Resources

24 Offerings of the SME-EC: Internal Streamlined process for establishing and following up on Projects Expertise on SME innovation programs, qualification of SMEs, local SME landscape, managing relationships and funding opportunities SME-EC support Help manage the relationship & provide confidence to SMEs Identify and assist with applications for funding Help sell the project Identify opportunities to communicate success stories Identify opportunities for further collaboration Develop marketing material Engagement process Concept Lead - Prospect Initial Final Proposal Contract negotiation Contracted Project delivery Follow up / impact SME-EC support Develop relationships with industry & provide advice Qualify leads Help SMEs define its project and needs Bring interesting projects For RiBs, manage the contract process For other projects, assist with contract negotiation

25 Offerings of the SME-EC: Strategy Providing knowledge to enable development of strategies for SME engagement Linking SMEs to precincts and government programs Deliver good projects Liaise with state and federal government stakeholders to encourage support for SMEs Deliver great projects Identification of opportunities to provide more value to SMEs Building our reputation as a trusted advisor on innovation Deliver fantastic projects

26 Dashboards

27 Stimulating Innovation

28 Developing new ideas

29 Solving Technical Problems

30 Resource Gap

31 Acquiring resources

32 Intellectual Capacity

33 Innovation horsepower

34 Uncorking the knowledge

35 CSIRO SME Engagement Encouraging and facilitating the application and utilisation of the results of our research Supported by Enterprise Connect Facilitated 108 Researcher in Business projects with SMEs 65 CSIRO RIB projects Market driven response to SME requests Delivering significant industry value add to SMEs Supporting program delivery with Enterprise Connect Deep connections across the innovation system 43 RIB projects use another Research Org

36 Common barriers to collaboration for SMEs Difficult to look beyond short-term pressures to see the long-term gain Collaboration may be viewed as more risky and sometimes disruptive Smaller companies do not always have the knowledge or the time required to pursue collaborations Smaller companies may not have absorptive capacity to translate knowledge into practice Expectations of how long it takes to undertake R&D differ Lack of a collaborative culture Nervousness or lack of understanding about IP Lack of funding or resources to assist collaboration

37 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

38 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

39 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

40 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

41 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

42 The Process Project Definition Match company needs and RI capability. Agree scope of work and costs Research Institution Project Approval Application to Program Eligibility and Incentive effect considered Contracts Standard Contract template. Company owns activity IP Program SME Project Initiation RI invoices company for 50% of its contribution Closure RI invoices company for remainder. Transfer of Program funds to RI.

43 Barriers - Real Where do you go in? IP can get in the way It can be expensive

44 Barriers - Perceived It s difficult to do business with Academia Research institutions want to own all the IP Research wont be interested in my business!

45 Free Service Finding the right capability Developing the project Applying for funding Contracting with Research Inst.

46 Textor Technologies The leading supplier of medical and healthcare textiles in the Asia-pacific region.

47 Lubdub Vitamin B3 for cardiac health with significantly reduced side effects

48 A.W. Bell The preferred supplier of a US aerospace company.

49 Larissa Bright Unique sunscreen based on coral reef

50 Moira Mac s Revolutionising packaged smallgoods in supermarkets

51 Southern Oil Refinery Market shift to higher value Group II oils

52 Botanical Resources Australia Supplying more than 60% of the world s natural insecticide, Pyrethrum.

53 Roesner More efficient fertiliser spreading for better crop yield

54 Universal Biosensors Improved coatings for Biosensor testing to increase export markets

55 CSIRO SMALL AND MEDIUM ENTERPRISE ENGAGEMENT SIRO SME Engagement ichael Egan irector michael.egan@csiro.au Thank you

56 Thank you CSIRO SME Engagement Michael Egan Director t e michael.egan@csiro.au w CSIRO SMALL AND MEDIUM ENTERPRISE ENGAGEMENT

57 Positive impact

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