H. The greatest challenges facing the sector that

I would like to specialize in at IE and role that I hope

to be able to play in this sector or industry

Fostering Transfer Technology to Move

Micro and Small Entreprise into Medium

Entreprise

Abdul Luky Shofiul Azmi

Scale Criteria Indonesia World Bank Malaysia EU

Micro

AssetIDR < 50M(USD 5.5K)

max USD 100K(IDR 900M)

OmzetIDR < 300M(USD 33K)

max USD 100K(IDR 900M)

MYR 250ribu(<IDR 750 M)

Employee < 5 max 10 < 5 0 – 9

Small

AssetIDR 50M - 500M(USD 5.5K – 55K)

max USD 3M(IDR 27B )

OmzetIDR 300M - 2.5B

(USD 33K – 278K)max USD 3M

(IDR 27B)MYR 250K- 10M(750M - <30B)

Employee 5 - 19 max 30 5 - 50 10 – 99

Medium

AssetIDR < 500M–10B

(55K-1M)max USD 15M

(IDR 135B)

OmzetIDR 2.5B – 50B

(USD 278K-5.5M)max USD 15M

(IDR 135B)MYR 10M- 25M(IDR 30B – 75B)

Employee 20 - 99 max 300 51 - 150 100 - 499

SMEs Criteria

Micro 54.550.000 (98.82%)

Small 602.190 (1.09%)

Medium 44.280 (0.08%)

Big 4.950 (0.01%)

Micro 19.143.521 (92.16%)

Small 1.357.533 (6.54%)

Medium 226.573 (1.09%)

Big 43.653 (0.21%)

Data source: Indonesian SMEs Ministry, 2011

Data source: Annual report on small and medium-sized enterprise in EU, 2011/12

There is Missing Middle

that has to be filled

Need to transform

business orientation from

Survival Motive into

Entrepreneurial Motive

Seeding Small and Medium

Entrepreneurship:

Character + Capacity

Building

Missing Middle Phenomenon

Micro 54.550.000 (98.82%)

Small 602.190 (1.09%)

Medium 44.280 (0.08%)

Big 4.950 (0.01%)

Challenge faced:

-Accounting management

-Product innovation

-Technology Application

-Human resource

-Marketing

Survival Paradigm

Challenge faced:

-Capacity of entrepreneurship

-Funding access

-Scarcity of mentoring

-Mental attitude

Challenge Faced

SINERGY ABG

to Move Micro Entreprise into Small Entreprise

Principal Action

Academics - Enhancing entrepreneurship capacity- Continue to encourage and develop the entrepreneurial spirit

becoming entrepreneurs as a CHOICE- Mentoring through business incubation and laboratory credit- Research and advocacy for policy improvement- Implementation of community development activities

Business - Corporate Social Responsibility- Funding

Government - Development of a good business climate- Transperancy in terms of the fulfillment of the rights of public

information make information not only available, but also easily accessible by public

Filling The Missing Middle

Reisman, 1989

A process for conceiving and

implementing a new/novel application

for an existing technology

Survival Paradigm

PC Magazine’s definition of Technology Transfer • Applying the results of research to a practical application.• Sharing technical information by means of education and training.• Using a technical concept or hardware or software product to

solve a problem in an industry that is entirely different from the one the technology was developed for.

International Network for SME’s:

Technology Transfer – TTTechnology Transfer is the process of

transferring scientific findings from

research laboratories to the commercial

sector.AUTM’s definition of Technology Transfer:

• Technology transfer is the process of transferring scientific

findings from one organization to another for the purpose of

further development and commercialization. The process

typically includes:• Identifying new technologies • Protecting technologies through patents and copyrights • Forming development and commercialization strategies such as

marketing and licensing to existing private sector companies or creating new start-up companies based on the technology

Technology Transfer Definition

Patenting

Licensing

Disclosure

Commercialization

Products/Processes(Royalties)

Agreement Administration

Technology Transfer Process

• Vertical– Transfer of equipment– No risk to provider– Quick results– One-way– Dependency risk– Simple linear model

Equipm

ent

$$

Technology Transfer Models• Horizontal

– Knowledge transfer– Longer complex process– Investment required on both sides– Loss of provider control– Partnership/JV based– Long term sustainability

Technology Provider A

Technology Provider B

Equipm

ent

Skills

Know

ledge

Buyer $$$$

• Public-Private Partnerships– National technological research & incubation center for

facilitating technology diffusion— evaluation and imitation of technology

– Government co-financed developments

• Private-Private Partnerships– Joint Ventures with business fit

• University-Private Partnerships– Targeted R&D collaboration – Transplanting the deeply absorptive capacity—overseas

education, training and homing returns

• Technology Intermediaries– NGOs, Government– Science & technology park for fostering the industry

cluster

Technology Transfer Mechanism

Research

Support

Inventions

DisclosurePatents

Licenses

Startups

New ProductsHigher Standard of living

Economic

Growth

More in Tax

RevenuesFederal State

Corporate EndowmentNew Jobs

Technology Transfer Stage

Sinergize