1. Strategic Technical Information Analysis “Using science and technology intelligence to drive business results” Philippe Bergevin, CTI Program Officer Tamara Keating, Technical Information Analyst NRC-CISTI FPTT Annual Meeting, Halifax, NS, June 2007

2. © National Research Council Canada 2007 Agenda A few words on Competitive Technical Intelligence (CTI) S&T Innovation… An Integrated Approach Issues and Challenges Strategic Technical Information Analysis –What it is? –What it does? –How it works? –Benefits “What next?”

3. © National Research Council Canada 2007 Canada Institute for Scientific and Technical Information Premier source S&T information in Canada Locations across Canada Team of highly skilled and experienced Technical Information Analysts Wide range of subject expertise Access to a leading edge suite of information search and analysis tools Access to a national network of experts

4. © National Research Council Canada 2007 The Pillars of Success Create wealth for Canada –Invest in projects that will translate into commercial success Avoid reinventing the wheel –Understand the S&T landscape and emerging trends –Identify alternative or competing technologies Know who you are dealing with –Know the players, their level of activity, the collaboration networks… Maximize the ROI –Identify new fields of application for your technology

5. © National Research Council Canada 2007 The Lesson of a Champion Wayne Gretzky “Skate to where the puck is going to be… not where it is…” “Skate to where the puck is going to be… not where it is…”

6. © National Research Council Canada 2007 The Power of Vision Based on Dr. Randy Goldsmith, Oklahoma Technology Commercialization Centre. Business Maturity Market Diversification Production Support 6-MATURITY Business Growth Sales and Distribution Full-scale production 5-FULL SCALE PRODUCTION COMMERCIAL PHASE Business Start-up Market Validation Pre-production prototype 4-PILOT PRODUCTION Strategic Business Plan Strategic Business Plan Strategic Marketing Engineering Prototype 3-PLANNING Economic Feasibility Market Study Technology Feasibility 2-FEASIBILITY DEVELOPMENT PHASE Venture Assessment Market Needs Assessment Technology Concept Analysis 1- INVESTIGATION EXPLORATORY PHASE 3-BUSINESS 2-MARKET 1-TECHNICAL TYPE of COMMERCIALIZATION ACTIVITY STAGES

7. © National Research Council Canada 2007 Where Synergy Really Pays Based on Dr. Randy Goldsmith, Oklahoma Technology Commercialization Centre. Business Maturity Market Diversification Production Support 6-MATURITY Business Growth Sales and Distribution Full-scale production COMMERCIAL PHASE Business Start-up Market Validation Pre-production prototype 4-PILOT PRODUCTION Strategic Business Plan Strategic Business Plan Strategic Marketing Engineering Prototype 3-PLANNING Economic Feasibility Market Study Technology Feasibility 2-FEASIBILITY DEVELOPMENT PHASE 1- INVESTIGATION EXPLORATORY PHASE 3-BUSINESS 2-MARKET 1-TECHNICAL TYPE of COMMERCIALIZATION ACTIVITY STAGES Technology Concept Analysis Venture Assessment Market Needs Assessment State of the art S&T Database search Patent search Competing technologies Alternative technologies State of the art S&T Database search Patent search Competing technologies Alternative technologies Perceived trends Market need Technology or product uniqueness Competitor overview Barriers to market entry Perceived trends Market need Technology or product uniqueness Competitor overview Barriers to market entry Perceived ROI Risk assessment Product commercialization issues IP issues Key players Potential partners Perceived ROI Risk assessment Product commercialization issues IP issues Key players Potential partners 5-FULL SCALE PRODUCTION

8. © National Research Council Canada 2007 CTI Reinforces Competitiveness INFORMATIONSEARCHINFORMATIONSEARCHACTIONABLEINFORMATIONACTIONABLEINFORMATION NEEDS & KEY ISSUES NEEDS & KEY ISSUES ANALYSIS & SYNTHESIS SYNTHESIS drive… provides input to… deliver… Intelligence Cycle provides insights … COMPETITIVETECHNICALINTELLIGENCECOMPETITIVETECHNICALINTELLIGENCE improves… INNOVATIONINNOVATIONINVESTMENTINVESTMENT COMPETITIONCOMPETITION PRODUCTIVITYPRODUCTIVITY spurs… allows for… makes possible… Competitive Cycle of SMEs Competitive Cycle of SMEs Reduces R&D costs Reduces risk factor Improves chances of commercial success Improves time to market Increases firm’s efficiency and effectiveness Fosters partnerships and alliances Reduces R&D costs Reduces risk factor Improves chances of commercial success Improves time to market Increases firm’s efficiency and effectiveness Fosters partnerships and alliances

9. © National Research Council Canada 2007 Nature and level of R&D activity Niches and opportunities Potential breakthroughs Networks of collaboration The Essence of CTI Technology Market Competion CTI Best-in-class competitors Best-in-class competitors Potential partners Potential partners Promising areas for development Promising areas for development Market segments Market segments Market drivers Market drivers Perceived market needs Perceived market needs Trends Trends

10. © National Research Council Canada 2007 STIA Impact Based on Dr. Randy Goldsmith, Oklahoma Technology Commercialization Centre. Business Maturity Market Diversification Production Support 6-MATURITY Business Growth Sales and Distribution Full-scale production 5-FULL SCALE PRODUCTION COMMERCIAL PHASE Business Start-up Market Validation Pre-production prototype 4-PILOT PRODUCTION Strategic Business Plan Strategic Business Plan Strategic Marketing Engineering Prototype 3-PLANNING Economic Feasibility Market Study Technology Feasibility 2-FEASIBILITY DEVELOPMENT PHASE Venture Assessment Market Needs Assessment Technology Concept Analysis 1- INVESTIGATION EXPLORATORY PHASE 3-BUSINESS 2-MARKET 1-TECHNICAL TYPE of COMMERCIALIZATION ACTIVITY STAGES

11. © National Research Council Canada 2007 A Rigorous and Focused Work Process Client Focus PUBLISHED SOURCES VERBAL SOURCES INTERNET NETWORKS 3. Search /validation 3. Search /validation 5. Assembly/ Report writing 5. Assembly/ Report writing Intelligence note 6. Presentation/ delivery 6. Presentation/ delivery Evaluation 4. Analysis/ synthesis 4. Analysis/ synthesis 1. Needs assessment 1. Needs assessment The Intelligence Cycle TARGETS 1. 2. 3. 4. 5. 6. Etc… 2. Key issues 2. Key issues DECISION & ACTION ACTION Search & validation Search & validation Analysis & report Needs & priorities Dissemination What are the facts? What do the facts suggest or mean for the decision? Define issue or decision “I want it fast, factual,and actionable.”

12. © National Research Council Canada 2007 What CTI is not… Industrial Espionage –Accessing information ethically and by legal means Market Research –More than understanding customer demand Quick Internet checks, library keyword / literature searches –Beyond gathering…Uncovering the meaning Fortune telling –Lowering the risk factor to decision

13. © National Research Council Canada 2007 STIA… What it is Strong IP focus –Data mining tools and techniques Cleaned and interpreted data that identify: –Trends, patterns, threats and opportunities Assistance in deciding the next steps for your innovation and commercialization activities

14. © National Research Council Canada 2007 Who are the major players ? Indicates level of activity and importance they place on the worldwide market STIA- What it does…

15. © National Research Council Canada 2007 Illustrate links between major players Adjust your business strategy Monitor trends, gaps, opportunities Identify what niches are controlled by the major players Illustrate links between major players Adjust your business strategy Monitor trends, gaps, opportunities Identify what niches are controlled by the major players STIA- What it does… Business networks Cargill carries joint R&D with KFRO Bayer uses SoyOyl in Baydur 7308 Bayer uses SoyOyl in Baydur 7308 Dow uses SoyOyl in BioBalance Dow uses SoyOyl in BioBalance Cargill carries out joint research with KPRC Cargill carries out joint research with KPRC Urethane Soy Systems Co. produces SoyOyl Urethane Soy Systems Co. produces SoyOyl Cargill Dow joint venture with FLA Cargill Dow joint venture with FLA BioPolymers uses SoyOyl in Healthy Seal Spray foam insulation BioPolymers uses SoyOyl in Healthy Seal Spray foam insulation Universal Textile Technologies uses BioBalance in carpet backing Universal Textile Technologies uses BioBalance in carpet backing Ashland Specialty Chemicals produces Envirez 500 Ashland Specialty Chemicals produces Envirez 500 J. Deere uses Baydur 7308 in body panels & Envirez 500 in hoods J. Deere uses Baydur 7308 in body panels & Envirez 500 in hoods Kansas Polymer Research Ctre Pittsburgh State University Kansas Polymer Research Ctre Pittsburgh State University

16. © National Research Council Canada 2007 Identify experts Identify potential partners « Who’s working with who? » « Where is the greatest concentration of experts? » Identify experts Identify potential partners « Who’s working with who? » « Where is the greatest concentration of experts? » Who works with whom ? STIA- What it does…

17. © National Research Council Canada 2007 Source: Market potential for soy-baesd Lubricants (from a report prepared by Omni Tech International for the United Soybean Board - February 2002). Market Opportunity Summary Soy-Based Lubricants Market Potential Nine areas were investigated to determine the potential acceptance of soybean oil as a commercial alternative to mineral-based oils. Prob. of Acceptance (%) Possible Market share (%) Hydaulic fuel Wire Rope Rail & Flange Drip oil Crankcase Bar/ Chain Two-cycle Dedusting Metal Cutting 40 70 55 65 80* 60 20 50 30 5 70 50 80 10 50 10 50 10 STIA- What it does… What else is out there? Identification of market and business infromation Links to market studies Complement to IP related commecial information Identification of market and business infromation Links to market studies Complement to IP related commecial information

18. © National Research Council Canada 2007 Cdex Inc. Collectrico n Becton, Dickenson & Co. Chang, Richard K. ChemImage Brookhaven Science Associates STIA- What it does… Who is who? Details on companies Information on potential licensees Corporate affiliation between companies Details on companies Information on potential licensees Corporate affiliation between companies

19. © National Research Council Canada 2007 How it works Compile –Comprehensive search in patent, SciTech and business databases Organize –Clean data to eliminate noise –Tabulate and synthesize large datasets –Look for patterns and trends Establish Links –Verify and validate data with other sources, esp. business Analyse –Interpret the information –Identify actions for decision-making

20. © National Research Council Canada 2007 STIA Impacts and Benefits STIA provides CTI on global R&D advances, business trends and market demands that will help you: Invest resources wisely; Develop successful business strategies; Anticipate emerging needs and trends; Accelerate the decision making process; Expand network of contacts, partners, collaborators; Discover new applications of your technology.

21. © National Research Council Canada 2007 What you can take away from it 1.Define the technological landscape surrounding an innovation Avoid reinventing the wheel Identify and understand trends 2.Identify key players and their level of activity Know who you are dealing with 3.Identify existing technologies and their level of IP protection worldwide Optimize your strategy 4.Identify networks of collaborators, their partners and licensing potential Maximize returns 1.Define the technological landscape surrounding an innovation Avoid reinventing the wheel Identify and understand trends 2.Identify key players and their level of activity Know who you are dealing with 3.Identify existing technologies and their level of IP protection worldwide Optimize your strategy 4.Identify networks of collaborators, their partners and licensing potential Maximize returns

22. © National Research Council Canada 2007 What you can take away from it 5. Identify new fields of application Optimize the return on investment 6. Position yourselves in the value chain Create leveraging effects 7. Target the zones that require specialized expertise Call on patent agents at the right time …Avoid paying more than is needed! 8. Give yourself a bird’s eye view of the market potential Oriented towards better decisions Target the aspects to drill down or to confirm 5. Identify new fields of application Optimize the return on investment 6. Position yourselves in the value chain Create leveraging effects 7. Target the zones that require specialized expertise Call on patent agents at the right time …Avoid paying more than is needed! 8. Give yourself a bird’s eye view of the market potential Oriented towards better decisions Target the aspects to drill down or to confirm

23. © National Research Council Canada 2007