Technology transfer agencies and regional economic development

Many regions in Western Europe have set up technology transfer agencies in order to support endogenous potential by encouraging the diffusion of new technologies from universities and large firms to small and medium‐sized enterprises (SMEs). However, many studies have shown that business partners such as customers and suppliers are the most important partners for the stimulation of the innovativeness of SMEs. Universities and transfer agencies are given a very low rank in these studies. These results have led to doubts about the usefulness of these institutions for regional economic development. In order to increase transparency, streamlining of the agencies involved is necessary so that there are fewer actors and more cooperation between them. To be able to reach technology‐following SMEs, at least one transfer organization in every region should employ senior engineers with extensive business experience to visit firms frequently (proactive) to help them come up with some technological issues (demand‐oriented). These agencies need long‐term financial backing so as to provide free advice to technology‐following SMEs.     

Regional Technology Initiatives: Some Insights from the English Regions

The paper presents findings from recent research on the policy role and experience of a number of Regional Technology Initiatives (RTIs) aimed at supporting innovation and technology transfer, particularly in small- and medium-sized enterprises (SMEs), in the English regions. The findings are discussed in relation to recent theoretical debates around innovation processes within SMEs, regional innovation systems and learning/actor networks. A primary concern is to understand the factors shaping the evolution of such initiatives and the lessons to be learnt from the experience to date. In this respect discussion focuses on four key issues: the funding driven nature of most of the initiatives; the move away from simply making new technology more accessible to a more client-need centred approach; the structural and cultural obstacles to improved links between academia and SMEs and how some of these can be ameliorated; and the issue of strategic integration between business support agencies within a region to support longer term economic development agendas. The paper concludes that the long-term viability of the RTIs will be dependent on their continuing capacity to anticipate and respond to an evolving, and to some extent uncertain, regional policy context.     

Using Technology Absorption as an Evaluation Criterion: Case Studies from a State Research and Development Program

State agencies sponsoring local research and development projects often finance the development of technologies in partnership with other organizations. These contracting partners develop and demonstrate the new technology. This study distinguishes between two types of outcomes from such projects. Technology absorption is the adoption of a technology by an organization participating in the project. Technology transfer is the process by which outcomes are adopted by organizations outside the project (i.e., nonparticipants). From an evaluation perspective, research and development projects that result in the absorption of technology, without any subsequent transfer, are difficult to assess. Often these outcomes are counted the same as a transfer even though the process is subsidized by the state.
Three case studies of absorption outcomes are presented. Absorption projects tend to be distinctive because: (a) they develop technologies that are very large in scale and very complex; (b) project leadership typically is provided by an end-user who attempts to employ the technology for commercial purposes; (c) success is measured through the technological accomplishment and ongoing commercial venture rather than by the number of adopting organizations; and (d) they produce spillover benefits in the cohesion of the social networks formed among project participants.     

What Makes SMEs more Likely to Collaborate? Analysing the Role of Regional Innovation Policy

The last 20 years have witnessed the diffusion of regional innovation policies supporting networks of innovators. The underlying aim of these policies is to encourage firms, particularly small and medium-sized enterprises (SMEs), to undertake collaborations with organizations possessing complementary knowledge. Focusing on a set of SMEs that have participated, over time, in several innovation networks funded by the same regional government, the paper investigates how their relationships have evolved with respect to the following aspects: (i) reiteration of pre-existing relationships as opposed to experimentation with new relationships; (ii) collaboration with organizations possessing complementary rather than similar knowledge and competencies; (iii) creation of local relationships rather than experimentation with extra-local collaborations; (iv) reliance upon intermediaries to connect with other organizations. Our findings reveal that the involvement in these policy-supported networks changed the firms' relational patterns, leading them to collaborate with a wider variety of agents than those with whom they were linked before the policies. Sectoral heterogeneity had a negative effect on the probability of collaborating, while co-localization increased the likelihood of collaborating. Mutual involvement with intermediaries also had a positive effect. However, in the case of firm-to-university relationships only specialized intermediaries were likely to perform a positive role and, therefore, encourage networking.     

Regional Innovation Support Systems: Recent Trends in Germany and East Asia

Since the beginning of the 1990s, one can observe a clear shift in the aims of regional policy in industrialized countries from reducing regional inequalities to developing endogenous small and medium-sized enterprises (SMEs) and innovation in regions through regional innovation support systems. Innovation support systems are defined as a group of actively cooperating organizations that support the innovativeness of SMEs. An innovation support system consists of all agencies found in three support stages, namely the provision of general information, technological advice and joint R&D projects, between firms (of which technology-following SMEs are the main group), higher education institutes (HEIs) and public research establishments (PREs). Agencies found in these stages try to help to solve innovation problems mainly of technology-following SMEs by either giving them advice themselves or by referring them to other agencies in a further stage of support. The agencies can be mainly supra-nationally, nationally or regionally initiated. This paper aims at comparing these regional innovation support systems in Germany and East Asia, that is Japan and South Korea, both concerning the instruments used, their impact on regional economic development, their level of organizational embeddedness in regions and the ability of regions to coordinate innovation support policies. The main conclusions of the paper are that there are similarities between the regional innovation support systems found in the countries when it comes to policy instruments, but that the countries differ concerning their level of regional embeddedness and the abilities of regions to coordinate innovation support policies. The paper also tentatively concludes that in countries where regions have the ability to coordinate policies into integrative innovation support systems, the impact on regional economic development tend to be larger than in countries where these abilities are lacking, that is where dirigiste and grassroots support systems prevail. One important explanation for the different coordinating abilities lies in the different political-administrative systems found in the studied countries (centralized in South Korea versus federal in Germany). Other factors explaining differences are: a time lag of development policies between countries, differences between the history of supporting SMEs in regions, supra-national support frameworks, the commitment of the political leaders in regions, collective trust and the size of countries.     

中苏科学技术合作中的技术转移

20世纪40年代到60年代初,苏联的技术援华推动了现代技术向中国的大规模转 移。50年代初,为更好地协调、管理中苏在科技合作中的各项事宜,成立了中苏科技合作委员会, 推动了双方在研究机构、产品的研究开发和技术科学的学科建设等方面的合作,培养提高了我国科 研院所、设计机构和企业的技术能力。1956年,在苏联专家的建议和帮助下,我国制订了十二年 科技发展远景规划,确定了中国科技的发展方向、目标和基本政策,此举对我国科技的发展产生了 深远的影响。60年代初,随着两国关系的破裂,中苏科技合作中断,因而打乱了我国科技远景规 划的正常实施,造成了中方大量人力物力的浪费和损失。     

The Politics of International Technology Transfer

Technology transfer is well recognized as a major determinant in the economic development of newly industrializing countries. Increasingly, technology transfer is also recognized as an important component in the economic fortunes of developed countries. The globalization of markets and the premium placed on technological sophistication in industry and services emphasizes the need for governments to consider and engage in technology transfer policy strategies. Our understanding of the dynamics of technology transfer can be enhanced through the study of the experiences of specific states. It is against this backdrop that this paper presents an analysis of technology transfer patterns from the United States and Japan to South Korea from 1962 through 1992. The Korean experience reveals that patterns of technology transfer cannot be explained simply by concentrating on what has been transferred from donor countries, such as the United Slates and Japan. Rather, we need to turn our focus to the host country and to the policy strategies that have been adopted to shape patterns of technology transfer. In short, the question turns from the economics of what, to the policies of how, technology transfer is accomplished.     

Asian Transnational Enterprises and Technology Transfer in Thailand

Like many of its neighbours, Thailand is increasingly interested in upgrading the technological capability of its indigenous firms through the inward investment (foreign direct investment, FDI) of transnational enterprises (TNEs). Its science and technology policies, however, remain fragmented, and they compete with regional distribution priorities. This paper examines the nature of technology transfer between Asian TNEs (Japan and the newly industrializing economies (NIEs), that is, the NIEs of Hong Kong, Singapore, South Korea and Taiwan) and Thai firms based on the responses of some 145 firms from a 2005 survey. It finds only modest levels of technological transfer in production and process technologies. Asian TNEs evaluate factor cost advantages and government incentives favourably. Logistic regressions, however, indicate that government incentives are negatively related to technology process modification between NIE subsidiaries and Thai customers. But, the technical training of Thai workers significantly increases the likelihood of Asian subsidiaries undertaking process technology transfers. Among NIE firms, the ability to import foreign skilled labour further increases the likelihood of such technological activities. Finally, forward linkages among the NIEs are positively associated with firm location in the urban agglomerations of Bangkok and Chon Buri, and, among smaller firms. Our study suggests that prevailing FDI policies have little influence on technology transfer, while technology policies that favour large TNEs work against smaller NIEs that are engaged in modest technology transfer.     

A Comparative Analysis of Civilian Technology Strategies Among Some Nations

This article compares the national civilian technology policies, strategies, and priorities of France, the Federal Republic of Germany, Japan, the Untied Kingdom, and the United States. An analysis is given of similarities and differences and of the national "systems;" data on research and development funding, science, and engineering personnel and technological outputs is provided; and options are presented. At the end, a summary of what we know and do not know about technology transfer is given.     

Technology Transfer and Public Policy

This article uses events occurring between 1989 and 1994 at the University of California (UC) as a case study to illustrate the consequences to the university of the collision between two powerful public policy agendas for the university: (a) that it maintain its traditional independence, carrying out its roles of teaching and research untainted by the lures and demands of the marketplace, and (b) that it become more active in economic development activities, including the development and sale of its intellectual property and the establishment of companies to exploit university research. The unsuccessful attempts over these five years by the UC to establish a separate nonprofit foundation to manage its considerable portfolio of intellectual property and to form a for-profit company to fund development and start-up efforts have been plagued with controversy. UC's story offers parallels with the experiences of other universities and illustrates an emerging pattern in the responses of higher education to the new pressures on them to be more economically relevant. The lessons from the UC case are valuable for other universities and for policymakers involved in technology transfer activities.     

Technology Transfer from University to Industry

The present national technology transfer policy suffers from the limited focus on structural barriers, as well as the reluctance of American business to invest in precommercial research and development. A growing consensus from the national debate suggests that policy attention be reoriented, thereby giving a greater emphasis to precommercial technology development (TD) research. This paper examines whether the nation's research-intensive universities, a reservoir of virtually unlimited scientific and technological resources, can possibly go beyond basic research and produce economically viable technology efficiently. To this end, the paper introduces key principles that help organize TD research within the research-intensive university. It also presents the results of a large-scale TD experiment being carried out by a research-intensive university under federal sponsorship. The midterm result strongly indicates that with modest financial support and some internal cultural adjustment, research-intensive universities can break through their ideological barriers and efficiently translate new scientific advances into commercially viable, cutting-edge technology. This is possible because, among other factors, the research-intensive university can build on its awn comparative advantage of strong fundamental research.     

Understanding Technology Development

There are wide variations between the developing countries in the capabilities of their enterprises to import, utilize and improve upon industrial technologies. It is important for the purposes of industrial policy to understand why these differences exist and how industrial capabilities may be improved. This article presents the findings of recent research into the nature of capability development and the role of government policies in promoting such development. The process of becoming efficient in industry is very different from the usual textbook portrayal, in which firms costlessly access and absorb new technologies. In reality, there is a long and uncertain learning process involved, differing with the nature of the technology, the efficiency of factor and product markets, and the provision of various technological information and services from the infrastructure institutions. There is a widespread risk in developing countries that all these markets suffer from failures: the scope for technology development policies rests on the need to remedy these failures. The experience of the most successful newly industrializing economies (NIEs) suggests that well-designed interventions, both selective and functional, are needed to promote technology development. Experience clearly shows the dangers of government failure, but it is necessary to retain a large role for the government if industry is to succeed. The pattern and implementation of interventions have to be very different. This article points out the outlines of economically desirable interventions.     

An endogenous approach to regional economic development: The emergence of Wales

The article looks at how developments in economic theory have influenced the regional development strategy agenda in Wales. It concentrates in particular on the importance of endogenous aspects of policy in a post‐Fordist context. Such issues as the relevance of networking, learning, foreign direct investment and technology transfer are looked at and applied in the Welsh context. The role of the Welsh Development Agency (WDA) as the principal economic agent is given particular attention. The general conclusion is that the WDA has been working on the right lines in attempting to develop an endogenous offensive approach alongside its obvious past success at attracting inward investment. There is, however, a danger of national trends and political forces favouring the latter over the former.     

Mirages and miracles of European small and medium enterprise development

A small‐scale industry ‘renaissance’ has characterized recent academic literature on industrialization and development policies. This comes as a reaction to the manifest difficulties facing mass production economies and to the sometimes spectacular performance of small‐ and medium‐sized enterprises (SMEs), particularly in Europe. The causes of the above success, together with the accompanying theorizations — such as the flexible specialization approach — are manifold and contradictory. Furthermore, theories on the present and future of SMEs vary as regards both optimism and policy implications — supra‐national, national or regional. Recent EU policies towards SMEs present an amalgam of instruments which, albeit often economically effective, constitute chiefly a political gesture.     

Evaluating Government Technology Transfer

The national laboratories are a reservoir of scientific and technological talent that can help America to compete in international markets.… Spurred in the past decade by new legislation and enlightened policies, the national laboratories have greatly expanded efforts to transfer federally-funded inventions and technology to private industry.
Alan Schriesheim (Director, Argonne National Laboratory), "Toward a Golden Age for Technology Transfer," Issues in Science and Technology, Winter, 1990–91, p. 52.
Although Congress adopted several laws in the 1980s to encourage the commercialization of federal laboratory technology and to promote technology transfer from the federal laboratories to the private sector, collaboration between laboratories and industrial firms has been modest at best.
Erich Bloch, Toward A U.S. Technology Strategy, Washington, DC: National Academy Press, February, 1991, p. 22.     

Public Policy and Emerging Sources of Technology and Technical Information Available to Industry

As technologies grow in complexity, firms often target their internal R&D resources on core competencies and utilize outside sources for supporting knowledge and technology. Where do firms turn to find such resources? This paper reports the perceptions of technology transfer managers in United States manufacturing firms toward federal and university labs and identifies the types of farms that are better positioned to utilize externally available technological resources. Based on replies from research-intensive companies within the United States, the authors find that larger firms with high research and development (R&D) budgets tend to ascribe greater significance to external sources than do smaller ones. Also, companies spending over $500 million in R&D rank universities the most significant external source of knowledge, followed by V S.-based firms, and then foreign firms.     

Regional technology policy and factors shaping local innovation networks in small German cities1

Local innovation networks are considered to be important to innovation and technological change and to growth prospects of regions and cities in Germany. When analysing the local (or regional) innovation system, one should consequently not only investigate horizontal and vertical relations among firms but also the contacts with universities and other research institutions. Furthermore, the role of government agencies and interest groups that provide financial support as well as commercial and technical information should also be taken into account. However, the review of relevant theoretical and empirical investigations related to the German experience shows that such innovation and R&D cooperation networks appear to be less significant than expected. In general various regional technology policy measures adopted in German states (the provision of research infrastructure, establishment of technology centres, innovative small and medium sized enterprises support programmes, etc.) have been more successful in economically better-off large cities than in the rural areas. Apart from offering a critical review of relevant theoretical and empirical research, this study introduces the present regional technology and R&D promotion policies in German states and examines the local innovation systems, taking Landshut as an example.     

Borders,planning and policy transfer: historical transformation of development discourses in the Finnish Torne Valley

European Union spatial policies have become a key institutional context in which to study policy transfer processes in European border areas. These policies are, however, only the most recent part of these transformation processes which raises a need for more historically sensitive approaches. An historical perspective is important, since border regions are historical processes with particular path-dependent development trajectories and power structures. This paper aims to contribute to the discussion concerning the transformation of European border regions by looking at the policy transfer of regional development discourses in the Finnish Torne Valley. The study material consists of strategic development documents produced by the Finnish border municipalities and the municipal-based co-operation organizations from the 1930s to 2013. The examination, based on critical discourse analysis, shows that the transformation process is driven by national trends and the dominant planning discourse. Nevertheless, the particular border setting and local discourse on ‘united Torne Valley’ have also intertwined with political and economic processes during different time periods.     

Academic Perceptions of University-Firm Technology Transfer

Why do some academics engage in technology transfer activities while others do not? What facilitates technology transfer? What inhibits it? This paper attempts to answer these questions from the vantage point of academic researchers. After briefly reviewing some pertinent literature, findings from a survey of academic researchers in the nation's top 100 research universities are presented. An assessment is made of academic researchers' technology transfer activities and of attributes that differentiate researchers who engage in technology transfer from their non-participating colleagues. Conclusions are drawn regarding the barriers and facilitators of university technology transfer to industry.     

Intermediaries in Regional Innovation Systems: High-Technology Enterprise Survey from Northern Finland

Intermediaries play an important role in national as well as in regional innovation systems, especially in innovation policy. In linking organizations within an innovation system, intermediaries are focusing on technology transfer, commercialization of ideas and funding. This research focuses on the role of intermediaries in high-technology product development in northern Finland. Based on a survey of 168 high-technology enterprises, funding services are regarded as the most important activity of intermediaries. Our results show that finance matters: a key actor within the Finnish innovation system in terms of direct funding and indirect collaborative resourcing, the Finnish Funding Agency for Technology and Innovation (TEKES), is considered the most important public sector organization in private sector product development. The survey also reveals that growth-driven companies with emphases on product innovation and high levels of investment in research and development for increasing their annual turnover benefit the most from intermediaries.