Welsh Assembly Government. Mid-term Evaluation of the Academic Expertise for Business (A4B) Programme
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1 Welsh Assembly Government Mid-term Evaluation of the Academic Expertise for Business (A4B) Programme Final Report Date: April 2011 Contact: Dr Dylan Henderson CM International UK Ltd, CBTC, Senghenydd Road, Cardiff, CF24 4AY, United Kingdom Tel: Fax:
2 Executive Summary The Academic Expertise for Business (A4B) Programme is the Welsh Assembly Government s support mechanism for knowledge transfer and exploitation from higher and further education institutions in Wales to business. The Programme draws together a number of previously separate project activities, including the Knowledge Exploitation Fund (KEF), the Centres of Excellence for Technology and Industrial Collaboration (CETIC) Programme, Know How Wales (KHW) and Accelerate Clusters (AC). The A4B Programme is funded by the Convergence Programme for West Wales and the Valleys, and the Welsh Assembly Government, and operates between 2008 and The Programme has a budget of 70 million. This report sets out findings from CM International s Mid-term Evaluation of the A4B Programme, and was based around a review of monitoring data and interviews with key stakeholders, as well as a sample of higher and further education interviews. Programme overview The A4B Programme is currently delivered through six project areas, with applications made on a competitive bidding basis. This includes: Early Stage Development Funding (ESDF) ESDF aims to maximise the number and quality of potential commercial propositions coming out of the higher and further education institutions. Large Application Development Projects (LADP) LADP seek to create new high growth companies based in Wales and/or to deliver a new licensing package with significant commercial potential that can be demonstrated to justify the additional funding level. Knowledge Exchange Networks Knowledge Exchange Networks aim to identify and develop effective, innovative academic and business knowledge exchanges which can lead to economic outcomes. Knowledge Transfer Centres (KTCs) KTCs sit within the academic institution and provide an interface between academia and business by providing access to research, development, expertise, facilities and knowledge. Collaborative Industrial Research Projects (CIRPs) CIRPs seek to encourage and enable groups of companies and academic institutions to carry out collaborative industrial R&D projects. Report Page 2
3 Innovative Actions Innovation Actions provides funding for projects of strategic importance to Wales that do not fit into the above strands. These projects support activities with significant commercial potential and opportunity for Wales. Other Projects In addition to the projects set out above, a number of earlier projects are no longer supported through A4B, including feasibility studies and Patent and Proof of Concept Funding. These activities were replaced as a result of recommendations made by the Task and Finish Group on IP and Commercialisation (2009), which also included greater local decision making with respect to the ESDF project. The Knowledge Exchange Networks project has also been informed by earlier evaluation. Strategic and operation fit A4B demonstrates a strong level of synergy with important strategy and policy documents at the EU and UK levels. In Wales, the introduction of the ERP has required A4B to realign its activities and structures. This has been achieved through restructuring of A4B team responsibilities and targeting of competitive calls for funding around priority sectors and R&D areas. The operational context for A4B is also characterised by a wide range of business and academic support programmes for innovation and technology including European FP7 and UK Technology Strategy Board (TSB) funding, as well as a range of other programmes in Wales, such as the Business Innovation Programme and the RD&I (Research, Development and Innovation) Fund. These initiatives address themes such as individual and collaborative R&D funding, early stage investment, placements of scholars, consultancy and advice - and offer relatively strong synergy with the integrated offer of A4B. In many respects, however, the primary issue of A4B fit is not one of overlap, but how best to maximise Wales involvement in sources such as TSB and FP7, as well as better connections between funding sources. Performance at the mid-term The findings from the evaluation research suggest that A4B approved grant funding for 216 projects by March This includes projects in the following areas: Number of Projects Approved by Type Report Page 3
4 Project Types KTC Feasibility PPOC ESDF CIRP Knowledge Exchange Innovative Actions LADP In relation to performance indicators, positive progress has been made in relation to key indicators such as collaborative R&D and Products, Processes and Services Registered. This reflects the success of the Programme in launching CIRP and ESDF-type activity. Progress in other areas such as Enterprise Assisted and Gross Jobs Created are someway behind targets, as are Enterprises Adopting or Improving Equality Strategies and Enterprises Adopting or Improving Environmental Policies. These indicators suggest that a significant delivery challenge still remains to enable the A4B Programme to meet its final targets. In light of the 3 years remaining, and past experience with KEF, the challenge of meeting these targets is not, however, insurmountable. Evaluation analysis The evaluation analysis suggests that the A4B Programme is strongly valued by its stakeholders, and seen as a vital complement to HEFCW s Innovation and Engagement funding in supporting knowledge transfer and exploitation. Indeed without such funding Institutions believe such activity would be severely curtailed. In relation to Effectiveness the results suggest that strong progress has been made in relation to the key A4B aims To support for academic institutions to strengthen their capability to exploit their knowledge in partnership with companies, and To enhance and accelerate the transfer of knowledge and the development of innovative key technologies. This includes important progress in areas such as: Institutions using A4B funding to leverage R&D funding from outside of A4B. Strong levels of SMEs assisted reported across all Programme activities. Project such as CIRPS have opened up the potential of higher education institutions (in particular) to increase the size and scale of projects by drawing in large companies and supply chains from Wales, as well as externally. Report Page 4
5 Projects have helped to create strong synergies with examples of early stage support from business angel finance. Further education beginning to engage more strongly with the Programme, with A4B working closely to ensure that its projects remain accessible to the sector. In relation to delivery efficiency the results suggest that the Programme has benefitted from, and utilised experience from previous projects such as KEF, KHW and the CETICS. It has, however, experienced a number of significant changes in areas such as internal management streamlining, and the restructuring of projects (for example, ESDF), as well as the removal of several projects from the Programme. These changes have presented a challenging context for Programme delivery and have naturally taken some time to bed down fully. The introduction of priority sectors and R&D areas as a result of the ERP recommendations has also had important implications for targeting the Programme. While the implementation of the ERP has hampered delivery of the Programme in the short term, the opportunity exists to benefit from the sector capabilities of the Sector teams and panels. Recommendations The recommendations set out here are designed to provide the basis for successful delivery of the Programme to 2013 and ensuring that the A4B s objectives are achieved. The recommendations fall under 3 main headings and are set out in the table below: Ensuring management and delivery efficiency 1. A4B should take continue its efforts to consolidate its team and embed links to the ERP Sector teams. 2. A4B should focus on ensuring continuity in its management and delivery in the remaining phase. 3. A4B should seek to place the focus on ensuring effective delivery of A4B in the remaining period. 4. A4B should seek to embed a stronger focus on capturing project impacts. Maximising outputs and impacts 5. A4B should aim to harness benefits from strategic innovative actions-type projects. 6. A4B should seek to maximise leverage from supported projects. Report Page 5
6 7. A4B should ensure that the focus on further education is maintained. Communicating with stakeholders 8. A4B should take steps to maintain consistency in communication with higher and further education partners. 9. A4B should ensure that the position of institutions in the nonconvergence region is communicated as swiftly as possible. Report Page 6
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