BEST PRACTICES IN ENTREPRENEURSHIP CENTERS
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1 ICTPI 09 International Conference on Technology, Policy and Innovation July Porto - Portugal BEST PRACTICES IN ENTREPRENEURSHIP CENTERS Dr. Rosangela Catunda PUC Rio / ICC UT Austin
2 Agenda 1. Research objectives 2. Expected results 3. Research methodology 4. Critical issues 5. Conceptual references 6. Premises adopted 7. Existing relevant practices 8. Practices to validate 9. Best Practices Database as a model 10.Research milestones and the next steps.. 2
3 Research objectives Identify and select Technology Incubators in Brazil, Portugal and the United States Review in further detail the practices of the selected incubators and the related performance indicators Establish a Best Practices Database to be shared with others entrepreneurship centers interested in improving their performance Share the research findings through publications, conferences and training sessions as appropriate 3
4 Expected results A list of relevant performance measurement indicators A methodology for comparing practices among Technology Incubators A Best Practices Database Comparison of the performance indicators results Practices related with the best performer 4
5 Identify the conceptual basis of the comparison, the variables of differentiating the types of Incubators and the performance indicators to compare. Research methodology We are here! 1. Preparation of the project 2. Bibliographical revision 3. Elaboration of the model and identify the relevant performance indicators 4. Identification and selection of the Top Centers for application 5. Data collection and analysis A. Identification of criteria for data collection B. Identification of the control points to collect data C. Selection of the tools for collecting data D. Data collection E. Data analysis 6. Establishment of the knowledge base with best practices 7. Validation the results with Centers involved 8. Lessons learned and how to proceed Define the criteria and select the Incubators to be compared 5
6 Critical issues Differentiation of Incubators How to classify and compare them? Methodology to compare practices How to identify the practices? Difficult access How to collect reliable data? Performance indicators How to select and identify them? 6
7 Answers from some relevant studies Conceptual references European Commission s Final Report Benchmarking of Business Incubators (2002) performance of business incubators impact on businesses and wider economic development assessed by obtaining information from companies idisc - infodev Incubator Support Center IDISC database (2009) Wiggings and Gibson (2003) Basic components of technology incubators in the U.S. Morris (2004) Key variables to defining a Entrepreneurship Center Model 7
8 Premises adopted 1. Develop a pilot study with relevant incubators in the three countries 2. Adopt a criteria to classify the incubators 3. Align used relevant performance indicators and build a KPI (Key Performance Indicators) list 4. Align existed database practices with selected indicators 5. Use the benchmarking methodology to collect and compare practices 8
9 Premise #1: Relevant to study To be selected USA and Portugal O Prime vai patrocinar três rodadas de editais no período de , contemplando cerca de cinco mil empresas e investimentos da ordem de R$ 650 milhões de subvenção. Somandose a este valor o adicional em crédito e capital de risco, o total de recursos disponibilizado será superior a R$1 bilhão. Brazil: 17 Incubators U$ 350 million companies 9
10 Premise #2: Criteria to classify Wiggings and Gibson - Basic components of technology incubators in the U.S. Michael H. Morris Key variables hi autonomy lo autonomy hi budget independence lo budget independence hi tenured faculty lo tenured faculty hi curriculum responsibility lo curriculum responsibility hi student involvement lo student involvement hi academic research lo academic research hi - venture start ups lo- venture start-ups off campus focus on campus focus Correlation of Basic components x Key variables = Similar categories 10
11 Premise #3: KPI list Align existing indicators ANPROTEC portal performance indicators (BSC) Virtual networking and knowledge-sharing platform for incubators ITCP - Technological Incubator of Popular Cooperatives of the Federal University of Rio de Janeiro PNI - National program to support Incubators and Technology Parks 11
12 Align existing practices Premise #4: Existed practices Reference Model that establish best practices to be implemented by Incubators Virtual networking and knowledge-sharing platform for incubators National Award Entrepreneurship Integrated approach to performance excellence 12
13 Premise #5: Benchmarking methodology Same methodology to measure the indicators results Detail and report the analyzed practices What Why When Where Who How Code of Conduct Disseminate the results 13
14 BSC Perspectives Strategic indicators Indicators to validate Operational indicators 1. Social 2. Economic 3. Financial 4. Customer 5. Internal processes 6. Learning Local/regional impact Investments versus Tax Financial autonomy Graduated companies performance Quality and capacity Human resources competency Total of products / Total of companies Total of companies with patent / Total of companies Total of companies certified (ISO, NQA) / Total of companies Total revenue this year / year before Incubator s Capacity for Generating Taxes (CG2I) Taxes Generation by the Graduated Enterprises (CGIG) Total revenue / Total of companies Incubator revenues and savings Level of self-sustainability Cost for square meter Cost of Employment Generation (CGE) Projects selected / Projects candidates Total distracts companies / Total graduated Total revenue / Total employees Total graduated / Total companies Modules occupied / Modules available Time of incubation / Total graduated Low employee turnover Long-term employment / employee satisfaction 14
15 Existing relevant practices Planning Training Advisory Monitoring, Evaluation and Guidance Graduation and Future Projects Support Exploration and Awareness Qualification of the Entrepreneur Selection Contracts Institutional Model Financial Management and Sustainability Physical Infrastructure and Technology People Management Systems management support Communication Systems and Marketing Start an incubator Select clients Graduate clients Provide services Manage an incubator Finance an incubator Raise awareness Market an incubator Monitor & Evaluate an Incubator Affect policies & regulations Engage Partners Leadership Strategic Planning Customer Focus Measurement, Analysis, and Knowledge Management Workforce Focus Process Management 15
16 Practices to validate 1. Strategic Planning 2. Monitoring and Evaluation 3. Raising awareness 4. Qualification of the Entrepreneur 5. Selection of clients 6. Graduation and Future Projects Support 7. Financial Management 8. Quality Management 9. People Management 10.Marketing 11.Engaging Partners 12.Processes related to provide services: Business Advice Coaching and Mentoring Financing ICT services (Information and communication technologies) Infrastructure & Facilities Pre-incubation 16
17 Best Practice Database as a model INCUBATORS PRACTICES PERFORMANCE INDICATORS RESULTS BEST PRACTICE DATABASE 17
18 26 st Aug 2009 Research milestones (Tollgates) 1. The conceptual basis of the comparison 2. The variables of differentiating the types of Centers 3. The performance indicators to compare. 24 th Feb 2010 Review of 1. Partial data collected 2. Partial results analysis 3. Draft of the knowledge base with best practices 30 rd Sep The selected Centers to be compared 16 th Jun The Best Class Practices 2. The relevant performance indicators 3. The methodology for comparing practices 4. The Best Practices Database Top Centers Comparison results 25 rd Nov The criteria for data collection 2. Control points to collect data 3. Methodology to collect data 4. Tools for collecting data 25 st Aug Lessons learned 2. Papers proposal 3. Proposal of Training sessions 4. Proposal of Workshops 26 st Jan Publications 2. Conferences 3. Workshops 4. Training sessions 18
19 Validating indicators and practices in USA and Portugal Select the Technology Incubators in USA and Portugal Develop the instruments to collect data Next steps 19
20 Thank you!! Rosangela Catunda (USA) (BRAZIL)
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