ee3014 engineers in society - ee.cityu.edu.hkycchan/lecturenotes/sy_hui-technology_transfer... · 1...

1

EE3014 Engineers in Society

Technology Transfer in Hong Kong:Taking Innovation and Research to the Market

6 Nov 2009

City University of Hong Kong

2

Agenda

What you can do for your Hong Kong? Technology transfer Challenges in technology transfer Taking technology to market Technology transfer in Hong Kong Case study

3

The Budget 2009-2010

Technology-based Economy (para. 59) Promoting the use of technology is a long-term task.

We will continue on the path towards a high value-added and knowledge-based economy. We will promote the development of new

technologies to enhance the competitiveness of Hong Kong

• The Speech on the 2009-10 Budget was delivered by the Financial Secretary, Mr John C Tsang, in the Legislative Council on February 25, 2009.

4

The Policy Address 2009-2010Breaking New Ground Together

Economic Development, Our Priority - Knowledge-based Economy

As a mature and open capitalist market economy, Hong Kong must constantly enhance its competitiveness and continue to evolve into a high value-added, knowledge-based economy to maintain its leading edge over global competitors and create more quality jobs. (para. 9)

• The Policy Address 2009-10 was delivered by the Chief Executive Mr Donald in the Legislative Council on October 14, 2009.

5

The Policy Address 2009-2010Breaking New Ground Together

Innovation and Technology The Government has been actively promoting the

development of innovation and technology. ... The Government will allocate about $200 million to launch an “R&D Cash Rebate Scheme”.... We hope this scheme will inculcate a research culture among enterprises and encourage them to establish long-term partnerships with research institutions. As a result, the R&D capabilities of Hong Kong and the competitiveness of enterprises will be enhanced, and more business and employment opportunities will be created. ... (para. 40)

• The Policy Address 2009-10 was delivered by the Chief Executive Mr Donald in the Legislative Council on October 14, 2009.

6

What you can do for your Hong Kong?

As a member of technology community As a member of well-educated class As a member of Hong Kong What you can do for Hong Kong to help

• promoting the use of technology• participating in a high value-added and knowledge-based

economy • contributing to the development of new technologies to

maintain its leading edge over global competitors

7

Possible way ...

Taking your research work and innovation to the market

Technology transfer (start from the lab)

8

Question…

What is technology transfer?

9


Technology transfer is:-• the process of• transferring research • into the commercial environment

• Wellcome Trust, http://www.wellcome.ac.uk/node7351.html

10


This transfer is necessary to obtain:-– the financing; and– expertiserequired to translate research intocommercial products.

11


It involves the generation of intellectual property to protect inventions,

which are then suitable for either • development by a start-up company; or• for licensing to a third party.

12

Technology transfer process

The general pathway from university research to commercialization

(http://www.uilo.ubc.ca/industry_Main.asp?sID=990BDB351B894C07A011FA039DA482A3).

13

Challenges in technology transfer

Allen and Cyrus (2005) identify four inherent obstacles preventing the effective technology transfer from university

• Allen, Kathleen R., & Taylor, Cyrus C. (2005) Bringing Engineering Research to Market: How Universities, Industry, and Government are Attempting to Solve the Problem, Engineering Management Journal, Sep2005, Vol. 17 Issue 3, p42-48.

• Run Run Shaw Library e-Resources “Business Source Complete” database

14

Four challenges in technology transfer

First, the commercialization of basic research is

frequently viewed by academics as antithetical to the common perception of the

fundamental mission of the university: to freely share knowledge.

15


Second, the technology transfer process is inherently

technology-driven. No in-depth market analysis that could determine

customer needs and identify market realities. (Questions: Who will buy this? Do they really need

it? When will they buy it? And at what price?)

16


Third, universities tend to be very risk-averse (they are, by

their nature, conservative institutions with life spans of centuries).

This characteristic manifests itself in how they handle intellectual property and trade secrets.

In a highly competitive market where IP is essential to securing a temporary monopoly and its associated advantages (in the process of taking a technology to market).

17


Forth, it is rarely the case that a single university has all the resources needed to effectively commercialize its technologies.

18


The obstacles are (maybe) inherent. Yet, taking technology to market, we have to focus

on the market needs. That is,

• to determine customer needs and • identify market realities.

19

Taking technology to market

How to determine customer needs and identify market realities?

Technology aside, let’s have a sip of beer at Lan Kwai Fong and

observe how Allan Zeman did.• Smooth operator. The Economist. 2007 Oct 18.

20


Did you know?

Lan Kwai Fong wildly popular drinking district was transformed from warehouses photo from The Plaza Lan Kwai Fong (http://www.lkfproperties.com/theplaza/About_Us.htm)

21


Wanchai the main area for nightlife in Hong Kong was then a fading red-light district filled with seedy

hostess bars photo from HipHongKong.com (http://www.hiphongkong.com/neighborhoods-hong-kong.htm)

22


Question: Would you, as an executive in decent business

attire working in Central, like to go there for a drink with your business associates?

But before Mr Zeman arrived, no one had noticed the gap in the market.

23


In 2003, Ocean Park – attendance sliding and its facilities

crumbling. In 2007, the ‘Mouse’ is stumbling and Ocean Park is thriving.

24


Disney's park attendance is widely reported to have fallen.

Where as visitors to Ocean Park have increased from 3.7m (2004) to 5m (2007).

25


Ocean Park – Losses have become ever larger profits.

How did Mr Zeman make this?

26


New marketing schemes

27


Free admission for grandparents and babies or because of a

particular digit in someone's Hong Kong identification card.

• Each free guest • was a lure for • others who paid.

28


Educational experience Ocean Park also built up a big collection of fish,

which allows parents to believe that they are treating their children to an educational experience, not just roller coasters.

(Yes, it works. My family has annual passes to bring kids there.)

29


And, who owns “Halloween” in Hong Kong? “WE OWN Halloween,” says Allan Zeman. (Did you go to Ocean Park or Disney last week for

the Halloween?)

30


Did you learn something from Allan Zeman’s experience to

determine customer needs; and identify market gap?

31

Taking technology to market – the Sony story

A lesson from Sony Akio Morita

32


“... the machine we produced in 1950 ... worked beautifully…

and I was absolutely convinced that after all this work

we were finally on the road to great success… ”• Morita, Akio (1987), Made in Japan : Akio Morita & Sony, Collins, 1987

• Run Run Shaw Library HD9696.A3 J3658

33


“... We were in for a rude awakening. The tape recorder was so new to Japan that almost no one knew what a tape recorder was,...”

34


“... and most of the people who did know could not see why they should buy one.

It was not something people felt they needed.”

Japan's first tape recorder, Sony's G-Type. Photo from sony.net – Sony History, A Man Charmed by The Tape Recorder (http://www.sony.net/Fun/SH/1-2/h5.html)

35


“... We could not sell it…”

36


“...Ibuka [Sony co-founder] believed strongly that all we had to do was make good products and the orders would come. So did I. We both had a lesson to learn.”

Sony's first prototype tape recorder. Photo from sony.net – Sony History, Talking Paper “Completed” (http://www.sony.net/Fun/SH/1-2/h4.html)

37


Did you learn from the lesson of Sony? Particularly for new product / technology. Product focus or market (and customer) focus?

38


…needs to work continually on challenging itself in respect to

the utility and value that its products or services contribute to

customers.• Drucker, Peter F (1985), Innovation and Entrepreneurship [chapter 15 the

New Venture], Harper & Row, 1985.

• Run Run Shaw Library: HD2346.U5 D78 1985 / HK Public Library: 338.72 DRU

39

Technology transfer in Hong Kong

Governments in both the industrial and industrializing economies have sought to address the competitiveness challenge by strengthening policies and institutions that support innovation.

One such institution is the research university, and governments have launched a number of policy initiatives to enhance the contribution of national university systems to industrial innovation.

40


Four of Hong Kong’s universities (HKUST, HKU, CUHK, and the City University of Hong Kong) have consistently ranked among the better universities in Asia.

The HKSAR government has increased financial support for research collaborations involving university and industrial researchers, HK universities have expanded their efforts to support technology transfer to Hong Kong industry through patenting and licensing of faculty inventions, and universities have provided support for the formation of “spinoff” firms to commercialize faculty inventions. These initiatives appear to have produced positive overall results.

• David MOWERY (Haas School of Business, University of California, Berkeley), 2009. University-industry collaboration and technology transfer in Hong Kong and knowledge-based economic growth (http://www.savantas.org/docs/innovation/1_mowery.pdf)

(

41


Innovation and technology add value to products and services,

and enhance competitiveness of our industries.

Following a comprehensive review and a public consultation exercise in 2004,

the Government adopted a strategy on innovation and technology development which ...

• Hong Kong: The Facts – Innovation and Technology (Nov 2008) (http://www.gov.hk/en/about/abouthk/factsheets/docs/technology.pdf)

42


emphasises focusing our resources on technology areas

where Hong Kong has a competitive edge, market relevance, industry participation, leverage on the Mainland, and better coordination among different elements of

the innovation and technology programme.

43


Under the strategy, the ITC set up five R&D centres in April 2006 to promote applied R&D in five technology focus areas, namely

automotive parts and accessory systems; information and communications technologies; logistics and supply chain management enabling

technologies; nanotechnology and advanced materials; and textiles and clothing.

44


Funding Schemes The Innovation and Technology Commission (ITC)

manages funding schemes to encourage Hong Kong companies to develop innovative ideas and technology businesses.

45


The Innovation and Technology Fund (ITF) set up the in November 1999 with $5 billion. There are four programmes:

• Technology Support Programme; • University-Industry Collaboration Programme;• General Support Programme; and • Small Entrepreneur Research Assistance

Programme.

46


The Applied Research Fund (ARF) This is a government-owned venture capital fund to

support local technology ventures with commercial potential.

The ARF has a capital of $750 million. ARF ceased making new investments.

47


Technological Infrastructure:• The Hong Kong Science and Technology Parks

Corporation (Science Park, industrial estates, incubation programme)

• The Hong Kong Applied Science and Technology Research Institute Company Limited (ASTRI)

• The Hong Kong Jockey Club Institute of Chinese Medicine Limited

• The Hong Kong Productivity Council (HKPC)• The Hong Kong Design Centre (HKDC)

48


Technology transfer centers of the universities in Hong Kong. (We’ve just mentioned the top fours.)

49

Technology transfer in HK – success stories

Prof Charles K. Kao• "for groundbreaking achievements concerning the

transmission of light in fibers for optical communication"• http://nobelprize.org/nobel_prizes/physics/laureates/2009/kao-lecture.html

Wisers Information Limited• www.wisers.com

SinoCDN Limited• www.sinocdn.com

e.Energy Technology Limited• www.eenergy.com.hk

Information provided on condition of anonymity• http://www.nikonusa.com/Find-Your-Nikon/Product/Digital-Camera/26186/COOLPIX-S1000pj.html

http://www.eenergy.com.hk/

http://www.nikonusa.com/Find-Your-Nikon/Product/Digital-Camera/26186/COOLPIX-S1000pj.html







50

Closing case study ...

Did you know where are these technologies from?• laser printing• Ethernet• graphical user interface (GUI)• object-oriented programming• very-large-scale-integration (VLSI)• the mouse, for computing

51


The birthplace of these technologies is – Xerox PARC Have your heard about Xerox? Xerox PARC?

• http://www.xerox.com/innovation/parc.shtml

• http://en.wikipedia.org/wiki/Xerox_PARC

• http://www.parc.com/

52


Founded in 1970 as part of Xerox Research and chartered to create “the architecture of information”

PARC was incorporated in 2002 as an independent research business.

PARC is celebrated for such innovations as laser printing, distributed computing and Ethernet, the graphical user interface (GUI), object-oriented programming, and ubiquitous computing.

53


Is Xerox PARC a success or a failure?

54


Xerox has been heavily criticized for failing to properly commercialize and profitably exploit PARC's innovations.

A favorite example is the GUI, initially developed at PARC for the Alto and then commercialized as the Xerox Star. Yet only 25,000 units sold.

The first successful commercial GUI product was the Apple Macintosh, which was heavily inspired by PARC's work.

55

Thank you!

ee3014 engineers in society - ee.cityu.edu.hkycchan/lecturenotes/sy_hui-technology_transfer... · 1...

Documents