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Higher Education and Innovation:
The Good, The Bad, and The
Unknown – An Industry
Perspective



Wayne Johnson
HP Labs
Hewlett-Packard Company


IAU 13th General Conference
Utrecht, The Netherlands
July 15-18, 2008
Why is everyone talking about innovation?

The world is changing and the ways in
which we do business and become
successful are different

We believe that our prosperity and quality of
life depend on understanding these ways




                Copyright 2005 Hewlett-Packard Development Company, LP
The Internet – circa 1474




       Copyright 2005 Hewlett-Packard Development Company, LP
and today…




    Copyright 2005 Hewlett-Packard Development Company, LP
Innovation – What is it?
“The capabilities of local firms to take up new
   technological and market knowledge and apply
   it effectively (Lester)”
Industrial Transformations:
•   Indigenous Transformation
•   Transplantation
•   Diversification Into Related Industries
•   Upgrading An Existing Industry



                 Copyright 2005 Hewlett-Packard Development Company, LP
Source: Melle, “A New Social Compact: How University Engagement Can Fuel Innovation”
                          Copyright 2005 Hewlett-Packard Development Company, LP
University Roles In Alternative
Growth Pathways
University Engagement Channels:
•   Education and Training
•   Adding to the Stock of Codified Knowledge
•   Increasing Local Capacity For S & T Problem
    Solving
•   Providing Space For Open Ended Conversations




                  Copyright 2005 Hewlett-Packard Development Company, LP
Universities: Effective Channel
Translations

Direct Contributions
Indirect Contributions
University-Specific Strategies
Context-Specific Strategies
Education and Research Excellence




                Copyright 2005 Hewlett-Packard Development Company, LP
The Knowledge Process of the Future
          Building knowledge networks to enable the next wave of innovation
                                                New Knowledge
                                                  New Talent



                                  Knowledge                    Knowledge
                                  Generation                    Transfer

                                            Academia
•Joint Research                                                                    •Faculty
•Customer Solutions                                                                •New Talent
•New knowledge               New Knowledge                      Competence &       •Curriculum
•Knowledge Application                                                             •Stakeholder Needs
•Best Practices
                            To Satisfy Society                  Ability to Learn   •Talent Specification
•Customer Needs                                                                    •Industrial Teacher
•Customer Feedback
                                               Industry
                                   Knowledge                   Knowledge
                                   Generation                   Transfer
                                         •Integrated Enterprises
                                         •Integrated Product/Process Dev
                                         •Learning Organizations
                                         •Enterprise-Wide Supply Chains

 Source: Knowledge Supply Chains; A Next-Generation Manufacturing Project
Globalization
                •   The process in which
                    geographic distance
                    becomes a factor of
                    diminishing importance in
                    establishing and maintaining
                    cross-border economic,
                    political, and socio-cultural
                    relations.
                •   Can be thought of as the
                    widening, intensifying,
                    speeding up, and growing
                    impact of worldwide
                    interconnectedness.
                •   Is a major force in
                    disintermediating innovation.
Globalization:
What’s Really Happening Here?
                    Evolutions in:
                    •   Economic Ecosystems
                    •   Educational “Success”
                    •   Talent and Skillsets
                    •   Sources of Invention
                    •   Business Strategies
                    Ultimately, National
                     Competitiveness
           Are We Ready?
Creating the Next Innovation
Ecosystem

                         Enlightened Self-Interest



                                 Academia




                                                Sa
                                                   ba
    Think Globally,




                                                      to’
                                                         sT
      Act Locally




                                                        ria
                                 Ecosystem




                                                           n
                                 Development




                                                              gle
                      Industry                 Government


   Think Locally,       National System of Innovation

    Act Globally
Global Trends
•   “Go-it-alone” no longer works – the problems are
    too complex.
•   The various players come together because their
    common interests compels them to work
    together.
•   Technology has made it possible to quickly
    transfer goods, ideas, money, etc. and has
    created a global community of increasing
    communication, trade, and shared interests.
Innovation 2.0
•   Industry, universities, and government make
    investments, create partnerships, build
    infrastructure, and add capability in a fragmented
    way.
•   Programs are narrowly focused and optimized
    around what they can get out of the system, and
    serve local interests and stakeholders.
•   Attempts at collaboration are increasingly mired
    in complex issues including IP, legislative
    hurdles, institutional silos, etc.
The Next Wave of Innovation …
  •   Form and structure of innovation are
      changing (globalization).
  •   Ways that we innovate, both individually and
      collectively, are changing (assumptions,
      values, interconnectedness)
  •   Environment and habitat in which we
      innovate are different
Modern Product
                      Development
                                               national
                                                labs
universities
                            regions

                                                              products
                  research                   business            &
                                               units          services

                            spin-out
               technology

                   VC funded                                  channel
                                              manufacturing   partners
                   companies
                                 subsystem

                                         customers

                                       partner companies

                                        supply chains
                                        capital markets
Valley of Death
                                                                 Industry
   Resources Invested




                                                        Investors


                                             Valley of Death




                                       Small Business
                          University
                        Discovery              Development          Commercialization

                                          Level of Development
Capacity Building


The Role of Universities
Private Sector Leadership
NGO’s
Capital Markets
World Bank – The Four Pillars of The
Knowledge Economy
•   Education & Training
    An educated and skilled population is needed to create, share and use
    knowledge.

•   Information Infrastructure
    A dynamic information infrastructure-ranging from radio to the internet-is
    required to facilitate the effective communication, dissemination and processing
    of information.

•   Economic Incentive & Institutional Regime
    A regulatory and economic environment that enables the free flow of
    knowledge, supports investment in Information and Communications
    Technology (ICT), and encourages entrepreneurship is central to the
    knowledge economy.

•   Innovation Systems
    A network of research centers, universities, think tanks, private enterprises and
    community groups is necessary to tap into the growing stock of global
    knowledge, assimilate and adapt it to local needs,
    and create new knowledge.
An Example of
              Engineering-centric
Engineering
              Partnership Today
for the
Americas
EftA Vision

  Engineering for the Americas will provide global
  leadership and achieve economic impact through
  development of the hemisphere's engineers.

  A revitalized, holistic and multidimensional
  engineering experience, recognized in meaningful
  and portable ways, will enable the hemisphere's
  engineers to develop relevant skills and excel in
  facing the challenges of the twenty-first century.
EftA Mission
 Build capacity of engineering talent in order to
 improve hemispheric competitiveness

 Contribute to creating holistic, entrepreneurial
 skills needed to face the multidimensional
 challenges of the global economy

 Enable mobility of both people and work

 Foster partnership between industry, government,
 academia, accreditors and professional
 associations
EftA: Outcomes
• Ministerial Mandate in Lima Declaration (2004)
• Educational and Accreditation Workshops: in Mexico, Chile, Peru,
Ecuador, Dominican Republic (2004 - )
• IDB Regional Public Goods 2006: a Regional Engineering
Accreditation System in the Greater Caribbean ($750K) – Dominican
Republic with Jamaica and Panama
• Keynotes: Global Colloquium on Engineering Education (2006) and
World Bank Forum on Science, Technology and Innovation
• Presentations: CCPE, ABET, LACCEI, CONFEDI, CONDEFI, ASEE,
ISTEC and many other engineering forums (2004 - )
• Student Scholarships to LACCEI (2007)
• IDB Regional Public Goods 2007: Entrepreneurship in the Southern
Cone ($2.5M) – Argentina with Chile and Brazil
• Community Development: Outreach to ASIBEI, ABENGE,
CONFEDI, CONDEFI, LACCEI, IEEE (2004 - )
EftA: Outcomes
IDB Regional Public Goods 2006: a Regional Engineering
Accreditation System in the Greater Caribbean ($750K)


    • Regional project between Dominican Republic, Jamaica, and
    Panama – Requires Government Commitment by Ministers
    • Involves Industry and Accreditation Agency sponsors
    • IDB Granted $600K to INTEC as Executing Agency for REAS to
        • Establish the project plan
        • Create REAS organization and infrastructure
        • Establish and promote adoption of engineering accreditation
        standards (Engineers Canada involved)
        • Support both Spanish and English languages
        • Develop Training and Adoption Facilities
A Vision for Innovation 3.0
•   Our current prosperity exists because government,
    universities, and industry have partnered for the past 50
    years.
•   The three pillars that underlie this coming together have
    been innovation, education, and entrepreneurship.
•   We have the opportunity to recreate the post-World War II
    renaissance, in a contemporary format for the modern
    networked economy and the flat world.
•   To achieve this vision, the participants in the innovation
    ecosystem have the opportunity to work together to create
    the next wave innovation infrastructure:
    −   Identify and amplify key patterns
    −   Steer the investments
    −   Manage the complexity
    −   Solve the problems and issues that emerge
Models For Effective Innovation

Value Creation Based
Pull vs Push
Global Context
Regional Specialization
Obervations
Innovation is a Complex Space
Requires Simultaneous Understanding of National
  & Global Innovation Ecosystems
Collaboration Essential Among GUI Sector &
  NGO’s, Capital Markets and Supply Chains
Intentional Strategies Between GUI Essential
Capacity Building Remains a Critical Challenge
Most University and Industry Partnerships Are
  Non-Strategic and Fragmented
Call To Action
We Need to Adapt to the Flat World
National Investments Must be Realigned
Capacity Building Requires All Sectors
Multilateral Development Banks Must Engaged
Industry And Universities Must Work Together To
  Be Relevant, Innovate In Meaningful Ways And
  Positively Impact Society
To Paraphrase Darwin – It is Not the Strongest
  who Survive but Those Best Able to Adapt
Innovation: What’s Needed?




                                                          ~ Inspiration ~




                                ~ The Right Attitudes ~

 ~ Networked Infrastructure ~
Win-win-win-win-win




Copyright 2005 Hewlett-Packard Development Company, LP
Thank You




            wayne.johnson@hp.com
Utr. prog. thursd. wayne c. johnson

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Utr. prog. thursd. wayne c. johnson

  • 1. Higher Education and Innovation: The Good, The Bad, and The Unknown – An Industry Perspective Wayne Johnson HP Labs Hewlett-Packard Company IAU 13th General Conference Utrecht, The Netherlands July 15-18, 2008
  • 2. Why is everyone talking about innovation? The world is changing and the ways in which we do business and become successful are different We believe that our prosperity and quality of life depend on understanding these ways Copyright 2005 Hewlett-Packard Development Company, LP
  • 3. The Internet – circa 1474 Copyright 2005 Hewlett-Packard Development Company, LP
  • 4. and today… Copyright 2005 Hewlett-Packard Development Company, LP
  • 5. Innovation – What is it? “The capabilities of local firms to take up new technological and market knowledge and apply it effectively (Lester)” Industrial Transformations: • Indigenous Transformation • Transplantation • Diversification Into Related Industries • Upgrading An Existing Industry Copyright 2005 Hewlett-Packard Development Company, LP
  • 6. Source: Melle, “A New Social Compact: How University Engagement Can Fuel Innovation” Copyright 2005 Hewlett-Packard Development Company, LP
  • 7. University Roles In Alternative Growth Pathways University Engagement Channels: • Education and Training • Adding to the Stock of Codified Knowledge • Increasing Local Capacity For S & T Problem Solving • Providing Space For Open Ended Conversations Copyright 2005 Hewlett-Packard Development Company, LP
  • 8. Universities: Effective Channel Translations Direct Contributions Indirect Contributions University-Specific Strategies Context-Specific Strategies Education and Research Excellence Copyright 2005 Hewlett-Packard Development Company, LP
  • 9. The Knowledge Process of the Future Building knowledge networks to enable the next wave of innovation New Knowledge New Talent Knowledge Knowledge Generation Transfer Academia •Joint Research •Faculty •Customer Solutions •New Talent •New knowledge New Knowledge Competence & •Curriculum •Knowledge Application •Stakeholder Needs •Best Practices To Satisfy Society Ability to Learn •Talent Specification •Customer Needs •Industrial Teacher •Customer Feedback Industry Knowledge Knowledge Generation Transfer •Integrated Enterprises •Integrated Product/Process Dev •Learning Organizations •Enterprise-Wide Supply Chains Source: Knowledge Supply Chains; A Next-Generation Manufacturing Project
  • 10. Globalization • The process in which geographic distance becomes a factor of diminishing importance in establishing and maintaining cross-border economic, political, and socio-cultural relations. • Can be thought of as the widening, intensifying, speeding up, and growing impact of worldwide interconnectedness. • Is a major force in disintermediating innovation.
  • 11. Globalization: What’s Really Happening Here? Evolutions in: • Economic Ecosystems • Educational “Success” • Talent and Skillsets • Sources of Invention • Business Strategies Ultimately, National Competitiveness Are We Ready?
  • 12. Creating the Next Innovation Ecosystem Enlightened Self-Interest Academia Sa ba Think Globally, to’ sT Act Locally ria Ecosystem n Development gle Industry Government Think Locally, National System of Innovation Act Globally
  • 13. Global Trends • “Go-it-alone” no longer works – the problems are too complex. • The various players come together because their common interests compels them to work together. • Technology has made it possible to quickly transfer goods, ideas, money, etc. and has created a global community of increasing communication, trade, and shared interests.
  • 14. Innovation 2.0 • Industry, universities, and government make investments, create partnerships, build infrastructure, and add capability in a fragmented way. • Programs are narrowly focused and optimized around what they can get out of the system, and serve local interests and stakeholders. • Attempts at collaboration are increasingly mired in complex issues including IP, legislative hurdles, institutional silos, etc.
  • 15. The Next Wave of Innovation … • Form and structure of innovation are changing (globalization). • Ways that we innovate, both individually and collectively, are changing (assumptions, values, interconnectedness) • Environment and habitat in which we innovate are different
  • 16. Modern Product Development national labs universities regions products research business & units services spin-out technology VC funded channel manufacturing partners companies subsystem customers partner companies supply chains capital markets
  • 17. Valley of Death Industry Resources Invested Investors Valley of Death Small Business University Discovery Development Commercialization Level of Development
  • 18. Capacity Building The Role of Universities Private Sector Leadership NGO’s Capital Markets
  • 19. World Bank – The Four Pillars of The Knowledge Economy • Education & Training An educated and skilled population is needed to create, share and use knowledge. • Information Infrastructure A dynamic information infrastructure-ranging from radio to the internet-is required to facilitate the effective communication, dissemination and processing of information. • Economic Incentive & Institutional Regime A regulatory and economic environment that enables the free flow of knowledge, supports investment in Information and Communications Technology (ICT), and encourages entrepreneurship is central to the knowledge economy. • Innovation Systems A network of research centers, universities, think tanks, private enterprises and community groups is necessary to tap into the growing stock of global knowledge, assimilate and adapt it to local needs, and create new knowledge.
  • 20. An Example of Engineering-centric Engineering Partnership Today for the Americas
  • 21. EftA Vision Engineering for the Americas will provide global leadership and achieve economic impact through development of the hemisphere's engineers. A revitalized, holistic and multidimensional engineering experience, recognized in meaningful and portable ways, will enable the hemisphere's engineers to develop relevant skills and excel in facing the challenges of the twenty-first century.
  • 22. EftA Mission Build capacity of engineering talent in order to improve hemispheric competitiveness Contribute to creating holistic, entrepreneurial skills needed to face the multidimensional challenges of the global economy Enable mobility of both people and work Foster partnership between industry, government, academia, accreditors and professional associations
  • 23. EftA: Outcomes • Ministerial Mandate in Lima Declaration (2004) • Educational and Accreditation Workshops: in Mexico, Chile, Peru, Ecuador, Dominican Republic (2004 - ) • IDB Regional Public Goods 2006: a Regional Engineering Accreditation System in the Greater Caribbean ($750K) – Dominican Republic with Jamaica and Panama • Keynotes: Global Colloquium on Engineering Education (2006) and World Bank Forum on Science, Technology and Innovation • Presentations: CCPE, ABET, LACCEI, CONFEDI, CONDEFI, ASEE, ISTEC and many other engineering forums (2004 - ) • Student Scholarships to LACCEI (2007) • IDB Regional Public Goods 2007: Entrepreneurship in the Southern Cone ($2.5M) – Argentina with Chile and Brazil • Community Development: Outreach to ASIBEI, ABENGE, CONFEDI, CONDEFI, LACCEI, IEEE (2004 - )
  • 24. EftA: Outcomes IDB Regional Public Goods 2006: a Regional Engineering Accreditation System in the Greater Caribbean ($750K) • Regional project between Dominican Republic, Jamaica, and Panama – Requires Government Commitment by Ministers • Involves Industry and Accreditation Agency sponsors • IDB Granted $600K to INTEC as Executing Agency for REAS to • Establish the project plan • Create REAS organization and infrastructure • Establish and promote adoption of engineering accreditation standards (Engineers Canada involved) • Support both Spanish and English languages • Develop Training and Adoption Facilities
  • 25. A Vision for Innovation 3.0 • Our current prosperity exists because government, universities, and industry have partnered for the past 50 years. • The three pillars that underlie this coming together have been innovation, education, and entrepreneurship. • We have the opportunity to recreate the post-World War II renaissance, in a contemporary format for the modern networked economy and the flat world. • To achieve this vision, the participants in the innovation ecosystem have the opportunity to work together to create the next wave innovation infrastructure: − Identify and amplify key patterns − Steer the investments − Manage the complexity − Solve the problems and issues that emerge
  • 26. Models For Effective Innovation Value Creation Based Pull vs Push Global Context Regional Specialization
  • 27. Obervations Innovation is a Complex Space Requires Simultaneous Understanding of National & Global Innovation Ecosystems Collaboration Essential Among GUI Sector & NGO’s, Capital Markets and Supply Chains Intentional Strategies Between GUI Essential Capacity Building Remains a Critical Challenge Most University and Industry Partnerships Are Non-Strategic and Fragmented
  • 28. Call To Action We Need to Adapt to the Flat World National Investments Must be Realigned Capacity Building Requires All Sectors Multilateral Development Banks Must Engaged Industry And Universities Must Work Together To Be Relevant, Innovate In Meaningful Ways And Positively Impact Society To Paraphrase Darwin – It is Not the Strongest who Survive but Those Best Able to Adapt
  • 29. Innovation: What’s Needed? ~ Inspiration ~ ~ The Right Attitudes ~ ~ Networked Infrastructure ~
  • 31. Thank You wayne.johnson@hp.com