2. The strategic meaning of Innovation Tommaso Foglia – INNOVA S.p.A. Suzhou - China, 17/03/2010

3. 2 Tommaso Foglia M.Sc. Engineer, Electrical Engineering – University of Bologna “Alma Mater” 8 years experience in Innovation, Technology Transfer and R&D projects management (2002 - to date) Coordinator of European Projects since 2004 Translation

4. 3 Innovation and Technology transfer in the practice How to formulate strategies for successful technology valorisation for SMEs TT models and cases How to develop abilities to turn technology into business value Approach: practical, based on cases, exercises, examples Translation Objectives of the Workshop

5. 4 PLANTAROM TRS OPT SENSOR Certified Research Laboratory (MUR) Research & Development Technology Ventures Innovation Services IT US LXB FR IT TN ES Media Pharma IT

6. 5 What is innovation? Any technical improvement to the status quo (Product, Process) but also … Organization: innovation keys (A.Read): –1. Management support for an innovative culture –2. Customer/market focus –3. Communication/networking –4. HR strategies that emphasize innovation –5. Team structures –7. Leadership, creative development, strategic posture, flexible structures, continuous improvement, and technology adoption. Translation Innovation - The technical meaning

7. 6 What are the strategic objectives and goals of innovation? Any solution/project/undertaking aimed at increasing value for the business organization The less successful companies take a conventional approach: staying ahead of the competition. The high-growth companies seek to make their competitors irrelevant through a strategic logic called value innovation. Translation Innovation - The strategic meaning

8. 7 What are the strategic objectives and goals of innovation?/2 You must examine radically what constitutes real value for customers by asking fundamental questions: what value offering need to be introduced or increased to meet customer needs? what value offerings can be reduced or eliminated, because they do not constitute real value for customers "The man who will use his skill and constructive imagination to see how much he can give for a dollar, instead of how little he can give for a dollar, is bound to succeed." – Henry Ford Translation Innovation - The strategic meaning

9. 8 Innovation is risky but necessary to improve competitiveness Innovation is not for everyone Innovation is not necessary linked to Technology Translation Implications

10. 9 Innovation requires: –A clear definition of needs and value generated to costumers –A sound financial scheme: Innovation is expensive –A network of contacts: Innovation is confrontation –A constant knowledge monitoring and up date Translation Implications

11. 10 Because the world is changing (fast) Nanotechnologies and Biotech prospects Zyvez: tools, instrumentation, and applications to serve the semiconductor and advanced research markets. Founded in 1997, Zyvex was the first molecular nanotechnology company. Translation Innovation - Why ?

12. 11 Because the old tricks don’t work anymore Translation Innovation - Why ? NUOVA FIMA DERBY

13. 12 It’s a big mistake saying that change must originate from the top Translation Innovation - Why ? SILMET: how to deal with the internal resistance to change Translation

14. 13 The Patenting process The Patent granting explosion The Patent litigation explosion Patenting and Innovation Translation Innovation – Why patenting?

15. 14 Gillette,48 Patents in a Razor Value? Five times as many razor blades as anyone else Translation Innovation - Why Patenting?

16. 15 Segnali Oggettività Codifica Strutturazione & definizione Concettualizzazione & generalizzazione Problem Solving ApplicazioneCodifica Strutturazione & definizione Concettualizzazione & generalizzazione Problem Solving Applicazione Dati Informazione Conoscenza AzioneSaggezza Soggettività Segnali Oggettività Codifica Strutturazione & definizione Concettualizzazione & generalizzazione Problem Solving ApplicazioneCodifica Strutturazione & definizione Concettualizzazione & generalizzazione Problem Solving Applicazione Dati Informazione Conoscenza AzioneSaggezza Soggettività Signals Objectivity Codification && Problem Solving Co Structuring & Definition Conceptualisation & Generalisation Problem Solving Application Dati Data Informazione Information Conoscenza Know-howActionWisdom Subjectivity (, Brainstorming Creativity Individual (lateral thought, Analogic) Group Network Innovation as process to consolidate know-how Translation Researcher approach

17. 16 Breakthrough technologies Incremental technologies Adjustment technologies Investment in new technologies Impact on economic result Technologies anticipating needs on the market, ex.: -New product functions -New business lines or new business models -Suppression of 1 or more productive factors Strategic objective: leadership Technologies running after the competition, ex.: -New products -TTM reduction Strategic objective: fast follower Technologies to comply with market and legislative standards, ex.: - New plants - Certification and quality control - Costs reduction Strategic objective: survival Which innovative technologies? Translation

18. 17 Time Which SMES do innovate? Translation “Running” technology “Emerging” technology “Future” technology” Interval to innovate (early adopter) Interval to innovate (follower) Potential Impact on economic result

19. 18 From Innovation to Technology Transfer: how to turn technology into business value Translation

20. 19 According to the followed approach, different modalities can prevalently emerge :  learning by doing (Prevalently Market Pull)  Productive know how (acquisition of technological capacity through adjustments and secondary engineering actions)  know why (development of an autonomous R&D activity) (Prevalently Technology Push)  Translation ”Upstream” approach or Technology Push ”Downstream” approach or Market Pull Innovation positioning with respect to the Client business Production Re-engineering process Basic Research Applied Research/ Innovation Product Development Marketing Translation

21. 20 How to solve a problem? Problem: take out the water without touching the glass Translation Innovation as problem solving for the development of new products Translation Putting innovation to work

22. 21 How to solve a problem? Problem : “I want a stronger table, but lighter” You are not the first to face such a “conflict of interest”... Translation Innovation as problem solving for the development of new products Putting innovation to work

23. 22 How to improve a current product? Translation Innovation as problem solving for the development of new products Look at evolution trends Translation Putting innovation to work

24. 23 SME Innovation Strategy Case 1: the growth challenge Business has two functions, and two functions only: Marketing and Innovation Translation GEOX breathes Translation A certain world walks in Rossetti Translation

25. 24 “How to do a better screw-driver?” Making it more resistent. How? Making it more insulated. How? Making it more ergonomic. How? Making it more adaptable. How? Innovation as problem solving for the development of new products Translation Putting innovation to work Translation

26. 25 The match between Technology and Strategy Translation

27. 26 Case 1: the SME Strategy Formulation process SMES Challenges: Process and Product Innovation but, mostly, Organisational Innovation. Rome, Via Condotti Fall 2006 Translation

28. 27 Case: example of organizational innovation Translation Standardized merchandising technique– optimal localization PDV Central stock Major Acquisitions’ warehouse GPS Merchandising Technique of restocking

29. 28 Because you are not too small to do it. Translation SME Innovation Strategy Titanium Golfing Sunglasses These advanced unisex sunglasses weigh just 8g. Brown shatter-proof and scratch-resistant lenses offer 100% UVA, B and C-protection. Incorporating “light Stabilising Technology” specially developed for golfers to enhance vision in frequently changing light intensity.

30. 29 XEROS

31. 30 International competition drives companies to concentrate on core competencies. Large companies outsource specific activities to SMEs which tend to networking. Increased growth in networks as a result of an increasingly knowledge-based economy (Collective Innovation Projects in France). Renewed focus to de-internalisation, where non- core activities are placed outside the enterprise itself. Translation The SME Networking

32. 31 Craft skills, design and knowledge of local market are still the core of the craft based product innovations: food, textiles, leather, wood and metal products. Craft-based regions share embedded skills and market understanding. Industrial districts in Denmark, Northern Italy, Spain and Portugal: product innovations, low innovation cost. Translation The European industrial districts

33. 32 Clustering is a key to successful industrial development because of: a)Information spillovers (typically imitation) b)Specialization and division of labor among enterprises (low transaction costs due to proximity of transacting partners) c)Development of skilled labor (usually through poaching) Translation What is an industrial cluster?

34. 33 Better access to competent people and innovative ideas Better access to specialized suppliers and demanding customers Better access to frontier research and development Better access to venture capital and competent investors Lower transaction costs of doing business Translation Advantages of belonging to an international cluster

35. 34 Innovation: what services to offer? Innovation is a business...... But what can be sold? Translation

36. 35 Innovation: the services Client organisations are looking for an integrated approach - Need / Opportunity - Funding sources - Partners - Project generation / management - Exploitation / Technology marketing - Change management Translation

37. 36 MARKETMARKET Technology Intermediary The role of Technology Intermediary Tech. Audits/Watch Venture Capital Partner Search Project Generation Exploitation / IPR BPR “Revolution Services” Identification of needs Capitalisation Partnership Development Partnership Process change Organisational change RESEARCH Technology Push Market Pull

38. Thanks for your attention! Tommaso Foglia (t.foglia@innova-eu.net) INNOVA S.p.A. Via Giacomo Peroni, 386 - 00131 Rome - Italy Tel.: +39 06 40040358

39. Innovation in textiles – Case studies Tommaso Foglia – INNOVA S.p.A. Suzhou - China, 17/03/2010

40. Table of contents: Case studies of innovations in the textile sector How to promote collaborations and Technology Transfer between European and Chinese organisations Examples of EU-funded projects dealing with innovation in textiles Translation

41. Case studies of innovations in the textile sector Translation

42. Case 1: ENVIRONMENTALLY FRIENDLY UPHOLSTERY Kvadrat - http://www.kvadrat.dk/http://www.kvadrat.dk/ WATERBORN Design: JEAN NOUVEL Translation The aim: to develop a new material made of synthetic fibers that addressed the environmental concerns of Kvadrat. The solution: a unique polyurethane dispersed in only water to impregnate a fine-structured and very dense, non-woven fabric made of polyester and Nylon. Translation

43. Case 1: ENVIRONMENTALLY FRIENDLY UPHOLSTERY Kvadrat - http://www.kvadrat.dk/http://www.kvadrat.dk/ WATERBORN Design: JEAN NOUVEL Translation The result: reduced emissions of organic solvents (-92%). The content of organic solvents in the final product almost equal to zero  No harmful and No unpleasant odours Further improvements: Jean Nouvel, an internationally renowned French architect, designed the structure, surface and colour palette of WATERBORN Translation

44. Case 2: AN INNOVATIVE ECO-BUSINESS MODEL IN TEXTILES EPEA INTERNATIONALE UMWELTFORSCHUNG GMBH http://www.epea.com/http://www.epea.com/ CRADLE TO CRADLE DESIGN INNOVATIONS – TOWARDS A CYCLE ECONOMY Translation 1 € for a used T-Shirt / Translation

45. Case 3: MULTIFUNCTIONAL TEXTILE - CONDUCTIVE RIBBON by Ohmatex Translation http://www.ohmatex.dk/ A conductive ribbon to connect integrated electronics in clothing and electronic units in equipment 100% washable and well suited to wearable electronic solutions. Translation Applications Data/power transmission in textiles As flexible cabling in almost any application Translation Collaboration with ESA

46. Case 3: MULTIFUNCTIONAL TEXTILE  follow up ESA signed a contract with Ohmatex (23 November 2009)… http://www.innovationintextiles.com/articles/307.php Translation … to develop an intelligent sock integrating near-infrared sensors and textile based EMG (Electro-Miography) electrodes to map the electrical and metabolic activity in leg muscles, to scientifically evaluate the efficacy of various training aids and astronaut workout methods. Translation

47. Case 4: PLASMA TREATMENT FOR TEXTILES G. Buyle - Nanoscale finishing of textiles via plasma treatment, 2008 The interaction of the active species in the plasma with the substrate can basically add something to the substrate or can remove something from the substrate. Translation

48. Case 4: PLASMA TREATMENT FOR TEXTILES Translation Common applications: i.imparting hydrophilic, hydrophobic and oleophobic properties ii.influence printability and dyeability iii.application of anti bacterial or fire retardant agents iv.antishrink treatment of wool v.Sterilisation Translation a untreated reference b after rendering permanently hydrophilic via plasma coating

49. Case 5: The first closed loop polyester recycling program for China http://www.innovationintextiles.com/articles/230.php 22 September 2009, Osaka The Teijin Group in collaboration with Li Ning Company Limited has announced the first program in China for collecting and recycling used garments. Eco Circle is an environmentally friendly closed-loop system incorporating technology for the chemical recycling of polyester. Translation

50. The Seventh Framework Programme (FP7) as a way to promote collaborations between European and Chinese organisations to foster Innovation and Technology Transfer Translation

51. What is the Seventh Framework Programme (FP7)?  The Seventh Framework Programme (2007-2013) of the European Community for Research, Technological Development and Demonstration Activities  Budget: € 53.2 billion  Building the Europe of Knowledge  The biggest Research Programme in the World  Translation

52. Framework Programme evolution –7 th of a series started in the 80s –FP7 Budget greatly increased + longer term focus (2007-2013) –Translation

53. FP7 - Specific Programmes COOPERATION – Collaborative research 9 Thematic Priorities 1. Health 2. Food, agriculture and biotechnology (Knowledge-Based Bio- economy) 3. Information and communication technologies 4. Nanosciences, nanotechnologies, materials and new production technologies Translation Textiles

54. FP7 - Specific Programmes COOPERATION – Collaborative research 9 Thematic Priorities 5. Energy 6. Environment (including climate change) 7. Transport (including aeronautics) 8. Socio-economic sciences and the humanities 9. Security and space Translation

55. Examples of FP7 funded projects dealing with Innovation in textiles Translation

56. BIOAGROTEX - http://www.bioagrotex.eu/http://www.bioagrotex.eu/ Development of new high end textile products, based for 100% on natural fibers and bio-based or Biopolymers and with a tailored biodegradability Translation. Complete production chain: (Bio)Chemical Industry, Natural Fibres & Processing, Extrusion, Agrotextile producers, Biodegradation testing & knowledge management Translation

57. NATEX - http://www.natex.eu/http://www.natex.eu/ Development of textiles from natural fibres that are suitable for use as high-strength reinforcing fabrics to produce structural composite materials and components. Translation  Multidisciplinarity: o Biologists o Physicists o Chemists o engineering scientists Translation

58. SHOPINSTANTSHOE Development of a cost-effective footwear based on shape memory materials to provide an instant fitting personalization service at the retail shop for enhancing user's comfort Translation  Exploitable results: o a shape memory alloy filament o a shape memory smart textile o a shape memory leather composite o a new personalization shop tool o a new customizable footwear upper Translation

59. CLEANCLOTH - http://cleanclothproject.com/http://cleanclothproject.com/ Development of an antibacterial cloth based on microfibre  a superior cleaning cloth with constant and continuous antibacterial effect Translation Image: Suat Eman / FreeDigitalPhotos.net

60. Safe@Sea - http://www.safeatsea-project.eu/http://www.safeatsea-project.eu/ Protective clothing for improved safety and performance in the fisheries Translation. New fabrics with improved tear strength and penetration of sharp objects Materials with improved scratch and wear resistance Self repairable materials Innovative buoyancy solutions Integration of sensors in the garments Translation

61. SONO - http://www.fp7-sono.eu/http://www.fp7-sono.eu/ A pilot line of antibacterial and antifungal medical textiles based on a sonochemical process Translation An innovative technique to produce and deposit inorganic, antimicrobial nanoparticles on medical textiles, e.g. hospital sheets, medical coats and bandages. Translation

62. MODSIMTEX - http://www.modsimtex.eu/http://www.modsimtex.eu/ Development of a rapid configuration system for textile production machinery based on the physical behaviour simulation of precision textile structures Translation 1.Finite elements analytic (FEA) simulation system to predict precisely how textiles react to certain contour conditions (tension, flexion, filtration power, transpiration, barrier effects, etc.) Translation 2.artificial-intelligence-based simulation system to overcome the limitations of the analytic model - Translation

63. DEPHOTEX - http://www.dephotex.com/http://www.dephotex.com/ Development of photovoltaic textiles based on novel fibres. Translation novel fibres with conductive properties as substrate materials and techniques for flexible photovoltaic textiles Translation TECHNOLOGICAL INNOVATION Development of a wearable and flexible substrate energy source directly on textile products. Translation

64. MICROFLEX - http://microflex.ecs.soton.ac.uk/http://microflex.ecs.soton.ac.uk/ Micro fabrication production technology for MEMS on new emerging smart textiles/flexibles Translation Mechanical action Lighting Sensor Drug delivery Medical Transport Workwear Consumer Smart bandage, Auto sterilization uniform Active monitoring underwear Luminous cabin, smart driver seat, auto clean filters Danger warning workwear (heating suite, high visibility, gas sensing, temperature sensing, movement sensing, alarm sounder Massage and cooling/heating armchair Luminous wall, surroundings customisation

65. BRAVEHEALTH - http://www.labor-eu.net/http://www.labor-eu.net/ A miniaturised multi ‐ parameter measuring unit made of miniaturised sensors and conductive fibres embedded to continuously monitor critical parameters to diagnose and manage Cardiovascular Diseases Translation  Textile Integration of Electronics  Tsinghua University (China) partner  Translation

66. Conclusions 1.The textile sector has a large room for innovations Translation 2.FP7 can be an opportunity for Chinese partners  A Chinese company, research centre or other institution can be partner of a EU-funded FP7 project and can receive funding from EU Translation

67. Thanks for your attention! Tommaso Foglia (t.foglia@innova-eu.net) INNOVA S.p.A. Via Giacomo Peroni, 386 - 00131 Rome - Italy Tel: +39 06 40040358

68. Technology Transfer models Tommaso Foglia – INNOVA S.p.A. Suzhou - China, 17/03/2010

69. 68 The process of formally transferring new discoveries and innovations resulting from research to industrial sector. Perspective in: sciencescience: formal transfer of new discoveries and innovations resulting from scientific research conducted at universities to the commercial sector industryindustry: mechanism that enables companies to solve their own technology needs by purchasing or licensing other companies’ technology and expertise knowledgeknowledge: any process by which basic understanding, information, and innovations move from an university, an institute, or a government laboratory to individuals or firms in the private and quasi-private sectors Translation Definitions

70. 69 –Developers (generators): the owner or source of the innovative technology, product, process, expertise or know-how –Recipients: the organisation or company that purchases innovative technology, product, process, expertise or know-how –Catalysers: Governments, Banks, Equity Funds, University system, Citizens, Unions –Translation Players

71. 70 A private company including SMEs A research organisation A governmental Agency/ Laboratory A university A Technology Centre An Individual Translation The Developer or Recipient could be one of the following

72. 71 Organizations which provide technology transfer referrals and information Technology brokers Technology transfer consultants Law firms Technology transfer conference organisers Technology business incubators and research parks Translation Catalysers

73. 72 Formation of new technology-based companies from R&D organizations (e.g. spin-offs). Licensing patents, software and technical know-how, prototypes. Performing contract R&D for clients and transferring the results. Sharing information in interactive events (conferences, workshops, briefings, visits). Translation Mechanims

74. 73 Performing cooperative R&D. Forming R&D or technology transfer consortia. Providing technical assistance. Employing unique R&D facilities and capabilities. Activities which catalyse or facilitate any of the above. Translation Mechanims

75. 74 –Open Science Model –License Model –Interaction Model –Spin-out Model –Translation The Business Model

76. 75 SaleProductionDevelopmentResearch –From research to technology transfer: you can “order” or “adapt” innovations –Translation End-User DeveloperRecipient Technology Transfer Open Science Model Services: To the developer: Partner Search, Funding To the recipient: Funding, Project generation, Management, BPR, Tech. Marketing To both: IPR / negotiation

77. 76 Universities does not retain any IP rights (except citation) No need for IP management Little incentive to invest in applications (both by culture and lack of protection) No direct impact on regional economy Still the most widespread model in Europe Translation Open Science Model

78. 77 SaleProductionDevelopmentResearch –From production to technology transfer: you can “buy” innovations –Translation End-User DeveloperRecipient Technology Transfer Services: To the developer: Partner Search To the recipient: Technology Marketing To both : IPR / negotiation License Model

79. 78 –Ownership of results by PROs not (yet) recognised as best practice) –Non uniform IP laws across Europe –Patenting costs are prohibitive (5xUS) –Not enough uptake by European industry –Most deals are with non-European licenses: does not support European economy –Translation License Model

80. 79 SaleProductionDevelopmentResearch –From development to technology transfer: you can “manufacture” innovations –Translation End-User DeveloperRecipient Technology Transfer Services: To the developer: Partner Search, Funding, IPR To the recipient: Funding, BPR, Technology Marketing To both: IPR / negotiation Interaction Model

81. 80 Builds on the Licensing Model and IP Background technology & patent become tools to seed development Proof of principle is made in collaboration with industry Demonstration funded in part by public money (EU Framework programs) Translation Interaction Model

82. 81 Foster innovation as interactive process; compatible with University mission if: –Contributes to science –University can capitalise on foreground –Fair share of returns Contributes to regional economy Translation Interaction Model

83. 82 SaleProductionDevelopmentResearch –From research to technology transfer: you can “do” innovations –Translation End-User Services: Technology watch, Partner search, IPR, BPR, Business Plan, Technology Marketing, Financing, VC and Seed Capital Spin-out Model

84. 83 Builds on the Licensing Model Background technology used as platform to develop new business concepts Only alternative when no industry partner in sight Contributes to regional development Contributes to rejuvenating economy Slow process: more than 10 years for mature companies Translation Spin-out Model

85. 84 They are created spontaneously by entrepreneurs Rate of creation can be increased by the right combination of incentives: –Pre-seed and seed capital –Science Incubators –Training and coaching of entrepreneurs –Recognition and entrepreneurship culture –Translation How to support the creation of durable spin-outs?

86. 85 Sustainability is still a problem: –Access to talents –Strategic partnership Translation How to support the creation of durable spin-outs?

87. Problems in international Technology Transfer 86 Difference in culture Difference in intellectual property protection regime Difference of rules within systems. Institutional versus individual ownership Biases and wrong beliefs Translation

88. Thanks for your attention! Tommaso Foglia (t.foglia@innova-eu.net) INNOVA S.p.A. Via Giacomo Peroni, 386 - 00131 Rome - Italy Tel.: +39 06 40040358