1. ComplexEIT WP 2 ESF – EMF – E-MRS report: Entrepreneurship Programmes in European Universities for Scientists and Engineers Patrick Bressler European Science Foundation (ESF) Physical and Engineering Sciences Hermann Grimmeiss European Materials Forum and Lund University

2. Patrick Bressler ESF Entrepreneurship – the emergence of business opportunities Sankaran Venkataraman & Scott Shane ”Entrepreneurship is a scholarly field that seeks to understand how opportunities to bring into existence ”future” goods and services are discovered, created, and exploited, by whom, and with what consequences.” Academy of Management Review, 2000, 25(1), 217-226 Citation: courtesy Marie Löwegren, Jonas Gabrielsson, Hans Landström, Lund University

3. Patrick Bressler ESF Development BUSINESS OPPORTUNITY Discover/Resources/Exploitation NEW VENTURES INTRAPRENEURSHIP Time Identify Discover Organize Exploitation MANAGEMENT Create resources ENTREPRENEURSHIP AND BUSINESS CYCLES Courtesy Marie Löwegren, Jonas Gabrielsson, Hans Landström, Lund University

4. Patrick Bressler ESF OECD definitions of Research and Development: – Research (basic and/or applied) is an original investigation activity to produce new knowledge – Development is a systematic activity to combine existing knowledge and know-how to produce new processes, products, services – Innovation consists in combining financial, logistical, marketing,…and some technological... aspects to increase competitivity Research does not normally produce financial returns, Development has risks but can produce returns, Innovation must produce returns OECD definition: courtesy Carlo Rizzuto, Sincrotrone Trieste & ESFRI

5. “ However, there is still about 90% Development activity “hidden” in Research: indirect results and business models out of research activities for spin outs” Entrepreneurship training for scientists/engineers is not taking a BA course in the economics department SAME WORDS HAVE DIFFERENT MEANINGS E.g.: “INNOVATION”: to an economist: “a product that sells better” to a scientist: “an idea that is new/creative” Patrick Bressler ESF

6. Next step: understanding Europe and the European Commission: COLOR CODE ON THE NEXT SLIDES ON EC – DECLARATIONS: RED: words scientists like to hear BLUE: words politicians like to use Patrick Bressler ESF

7. EC Greenpaper on the European Research Area, Introduction: “In 2000, the EU decided to create the European Research Area (ERA) to: enable researchers to benefit from world-class infrastructures and work with excellent networks of research institutions; share, teach, value and use knowledge effectively for social, business and policy purposes; optimise and open European, national and regional research programmes in order to support the best research throughout Europe and coordinate these programmes to address major challenges together; enable Europe to contribute to global development and take a leading role in international initiatives to solve global issues.” Use of red and blue words is balanced

8. Patrick Bressler ESF Next chapter: The Goals for ERA: “To enhance research careers in Europe, incite industry to invest more in European research – contributing to the creation of sustainable growth and jobs in the EU.” “To become a central pillar of the EU 'Lisbon Strategy' for growth and jobs.” Green paper: (http://ec.europa.eu/research/era/consultation- era_en.html#greenpaper)

9. Patrick Bressler ESF Finally, EC describes what the Framework Programme 7 is for: “FP 7 (2007 – 2013) is to implement ERA” “make Europe the knowledge-based "most dynamic competitive economy in the world"… (Lisbon goals, 3% GDP etc). to bundle all research-related EU initiatives in reaching the goals of growth, competitiveness and employment; along with a new Competitiveness and Innovation Framework Programme (CIP), Education and Training programmes, and Structural and Cohesion Funds for regional convergence and competitiveness…” Red words are gone !?

10. Refocussing specific training for scientists and engineers: Entrepreneurship programmes at universities Selected examples: University of Oxford, UK Lund University, Sweden Ecole Polytechnique Federale Lausanne Karlsruhe Institute of Technology Patrick Bressler ESF

11. Methodology: on-site interviews including short presentations and in- depth discussion based on the hand-out questionnaire Topics/areas: Entrepreneurship training Spin-out policy & support IP rights and benefits Success factors EIT added value Patrick Bressler ESF

12. All institutes/universities: run dedicated (voluntary) entrepreneurship courses for students at BA, MA, and PhD level. operate dedicated offices to provide guidance and support to university or institute members to create/found start-ups operate IPR/patent support offices that cover their expenses through IP revenue operate closely with “Science Parks” to continue support and guidance for companies after launching find success rates < 90% for spin-outs after 5 years stated that spin-out failures resulted from lack of management skills Patrick Bressler ESF

13. EPFLLUKITOxford Tuition/year1000 CHFNone1000€3000£ Entrepreneurship training 10 courses 250 hrs 160 Hours 150 hrs over 4 semester 3 courses 48 hrs per year Spin-out support/ university funds Grants No funds Grants Fund pool* Fund pool (ISIS) No. spin-outs /year 8 (20% by students) 20 (10%)25** (50%)5-6 (0%) Patent rights owned by universityInventoruniversity Patent revenue~1 mill. CHF0 Skr~1.5 mill. €~1.2 mill. £ Venture capital collected ~50 mill.CHF0 Skr0 €40 mill. £/year Patrick Bressler ESF

14. Different cultures and values in engineering and sciences Scientists appreciate: Ideas (“Innovation”) Intellectual property Financial security Peer approval Being so successful/making so much money to never need to apply for funding again Scientists fear (avoid): Marketing Sales Timelines Pricing Explaining things simply to investors People ‘stealing their ideas’  New paradigms needed for entrepreneurship training Compilation based on Fiona Reed, Oxford Science Enterprise, talk March 13, 2007

15. Patrick Bressler ESF Academic training and university entrepreneurship: Academic outputs are new knowledge, talented people Commercialising new knowledge works better with talented people who also understand business Is culturally specific to the research environment and requires careful yet courageous approaches Requires tailored seeding and transition schemes Integrate other disciplines that work closely with industry Compilation based on Fiona Reed, Oxford Science Enterprise, talk March 13, 2007

16. Career perspectives are changing in Europe Universities will want the best talents for research and academic careers BUT most students of science and engineering will move to enterprises and will not remain in academic positions In the European Research Area there will be more need/more opportunities for scientist-entrepreneurs Patrick Bressler ESF

17. “In Europe there is a very strong culture of risk aversion lack of venture capital lack of engagement/commitment by highly trained scientists. Career expectations are set too strongly on staying in academia at PhD student and postdoc level. lack of public appreciation of spinouts/start-ups and SMEs in Europe.” Patrick Bressler ESF  An EIT can do more for Europe in this field

18. Patrick Bressler ESF EIT should pool significant funds for spinouts/start-ups. EIT should focus first and foremost on highest quality research. Excellent business opportunities always follow suit. Entrepreneurship training at an EIT will create/promote more diversity in themes and more internationality. KICs/EIT programmes ~10 years – 5 years too short.

19. Patrick Bressler ESF HERMANN GRIMMEISS (EMF & Lund University) PATRICK BRESSLER (ESF) special thanks to EMRS - HQ Paul Siffert, Sylvette Pfister, and ESF-PESC office, i.e.: Nathalie Geyer