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DHBW Mannheim – Study Visit 21 st July 2011 Cambridge Technology Cluster Robert JonesProgramme Leader, Executive MBA Lecturer in Entrepreneurship & Innovation.

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Presentation on theme: "DHBW Mannheim – Study Visit 21 st July 2011 Cambridge Technology Cluster Robert JonesProgramme Leader, Executive MBA Lecturer in Entrepreneurship & Innovation."— Presentation transcript:

1 DHBW Mannheim – Study Visit 21 st July 2011 Cambridge Technology Cluster Robert JonesProgramme Leader, Executive MBA Lecturer in Entrepreneurship & Innovation robert.jones@anglia.ac.uk http://cambridgemba.wordpress.com http://cambridgearea.wordpress.com

2 Cambridge is an economic hot-spot – based on high-tech We have a famous business area on our door step:- Silicon Fen(Cambridge) Copied from:- Silicon Valley(California)

3 The Cambridge Phenomenon Cambridge Phenomenon Conference 2010 http://vimeo.com/15767187

4 Cambridge Science Park What is a science park? What is necessary for a science park?

5 Cambridge Science Park 100-plus hi-tech firms 5,000 personnel small start-ups spin-outs subsidiaries of multinational corporations. There are now 60+ university / business parks in the UK

6 1970sslow progress, 25 firms 1980scluster forming, social centre, VC, spin-outs 1990s1200 firms, 35,000 employees, incubators 2000s to present day IPOs, biotech, mix of types incl MNCs, life sciences, photonics, nanotechnology and materials science Cambridge Science Park

7 St Johns Innovation Centre http://www.stjohns.co.uk/ Rent-Address 3 Star Service £7 + VAT per week

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9 Cambridge Cluster What is a cluster? What are the conditions that influence a cluster to start and then grow?

10 Clusters Porter, M Competitive Advantage of Nations (1990) Clusters and the New Economics of Competition (1998) Geographic concentrations of interconnected companies in a particular field Specialist firms tend to cluster or co-locate. Alfred Marshall (1890)

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12 The Cambridge Phenomenon In 1985 SQW published a study into Cambridges success. http://www.sqw.co.uk/ The Cambridge Phenomenon Revisited (SQW, 2000) Examined Cambridge's high tech cluster, how it originally evolved, and subsequently developed over a fifteen year period; the causes and barriers to growth in firms and the links to the research communities. It also contains a review of entrepreneurial attitudes and intent amongst a range of populations, including schoolchildren, university students and the academic faculty.

13 Examples of Cambridge technology Sinclair computers Acorn computers ARM plc Plastic Logic Autonomy plc CSR Cambridge Silicon Radio Marshall Group of companies Abcam plc – antibodies online

14 Key factors that encourage clustering are: http://www.dti.gov.uk/CB/biotechclusters/chapt03.pdf

15 Greater Cambridge Partnership 2009

16 But most of these firms are very small 40% of firms are micro & employ 1-5 people. 20% of firms are micro & employ6-10 people Only about 2.5% of firms employ more than 200 people

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18 Cambridge high tech firms are based on:- Innovation Design Know-how Intellectual property Patents = High value-added Exploitation by licensing to overseas producers e.g. ARM plc

19 Do we see the emergence of the New economy? Manufacturing - - - Service+ + + Knowledge+ What next? ?

20 Hermann Hauser http://www.amadeuscapital.com/ Co-founder with Chris Curry of …..

21 Continuing growth of high-tech:- e.g. West Cambridge development More research sites:- Addenbrookespharma & medical Hinxton human genome Babraham biotech Landbeach research park Abington research park

22 BUT ……. Some key problems Venture capital-lack of seed capital Skills shortages-recruitment problems Housing -very high prices Lack of building land - green belt policies Transport -road congestion Planning constraints

23 Lack of seed capital is a big problem

24 The Cambridge Cluster - the Way Ahead (2006 ) Report produced for GCP by W J Herriot, T Minshall & A Smeets of St Johns Innovation Centre Ltd on behalf of the Cambridge Technopole Limits to growth - what can we do?

25 The Cambridge Cluster - the Way Ahead (2006) Explains the size and characteristics of the cluster – the context and the role of the University of Cambridge. Reviews the concerns that Cambridge has not created any really substantial businesses – no big gorillas Analyses the importance of finance, particularly Venture Capital Funding, in the growth of the Cluster. Reviews the specific Tym recommendations on business support Examines how we might be more proactive in attracting business to the sub region Takes into account the findings of the SQW Report to position the Technopole and Enterprise Hubs in a regional context

26 Warning Walter Herriot quotes:- Michael Best in the Massachusetts Technology Road Map and Strategic Alliances Study Choosing to Lead: The Race for National R&L Leadership and New Economy Jobs (2004).1 We need to collaborate more effectively and develop a technology roadmaps that looks five or ten years down the line. Without a road map and an economic development strategy, we run the risks of turning into Cambridge, England: well have isolated clusters of the very best University research and a number of small R&D firms but not the downstream production, service and support jobs that make a vibrant economy. Well create all the new ideas but others will get too much of the benefit.

27 L I B R A R Y H O U S E Looking Inwards, Reaching Outwards The Cambridge Cluster Report – 2007 What can we do? 5

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29 Silicon Valley comes to Cambridge November 2010 http://www.svc2c.com/


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