1. ASSESSING THE IMPACT OF BASIC RESEARCH: EXPERIENCES FROM THE UK Ian Diamond 26/02/08 Research Excellence with Impact

2. Why does Government invest in research? Economic reasons –Contribution to innovation, productivity and national competitiveness Quality of life outcomes –Healthcare, environment, social benefits Culture and curiosity –The pursuit of knowledge – “because its there” Impacts are expected but implicit

3. Trends in Government funded SET in real terms

4. Flow of funds for UK R&D

5. Trends in source of funds for gross domestic expenditure on R&D in UK in real terms

6. Increased investment in research Increased expectations of benefits from research Increased obligation to demonstrate a greater impact from research A causal relationship!

7. Some Examples of Impact Assume UK HE will be major driver of improvements in economic development and quality of life –Supply of well educated people with relevant skills –Ensuring research, where appropriate, impacts on business, government and voluntary sector –Increasing ease of movements between academia and other sectors

8. Economic Impact Assessment Detailed analysis of 20 Case Studies All Research Councils Different types of activity Different types of outcome A common “scientific” approach: description classification explanation

9. Case studies mapped onto an aggregation of Research Councils’ Funding

10. Case Study Methodology

11. Outputs of Research Investments Codified knowledge –Scientific publications –Intellectual property Qualifications and Skills Development Instrumentation, resources and methods Networks

12. Impacts of Research Development of human capital Business and commercial impacts –Knowledge transfer through collaboration –IP and other commercial activity –Clusters and inward investment Policy impacts Quality of Life outcomes –Healthcare, environment, social cohesion –National security, education, culture

13. AHRC Centre for Surrealism led to the Undercover Surrealism exhibition at London’s Haywood Gallery, which –generated economic impact of at least £1M; –has restored the credibility of surrealism research; –contributed to development of the creative industries.

14. BBSRC Institute of Animal Health A reference laboratory for several animal diseases; has contributed include the eradication of Rinderpest, a net economic benefit to Africa of over $1,000 million annually

15. STFC Protein crystallography Tool pioneered at STFC Synchrotron Radiation Source to study the structure of proteins. One user Astex has raised over £50M investment and $1Bn in external collaborations. Software developed from SRS generates licensing revenue of around £1M pa.

16. EPSRC Polymer Science Research Basic research leading to exploitation of polymer technology Successful spinouts include: –Plastic Logic - introduced flexible displays (shown) –CDT - recently merged with Sumitomo in ~ $285M deal Direct and indirect impacts over £200M.

17. Centre for Analysis of Social Exclusion Research into factors which promote/prevent exclusion, recovery and regeneration Contributed to Government evidence- based policy making Direct influence on UK Government Sure Start programme ~ £1M p.a.

18. MRC DNA Technology Outcomes include the Southern Blot method - underpinned the sequencing of the human genome Spin-outs include Oxford Gene Technology and Cellmark Diagnostics, one of which has a $160 million market capitalisation. Impacts - DNA fingerprinting has revolutionized forensics and may have saved the UK £47M pa through faster identification of serial rapists.

19. NERC Ocean Margins LINK programme To improve understanding of deep water structures, sediment movement and stability. Potential impacts include improved risk mitigation and site prediction in oil drilling in Atlantic margins, worth around £100M. Wider impacts could include the application of analytical techniques to drugs testing in sport.

20. PPARC Particle Physics and Astronomy PhDs Develop analytical skills with much broader commercial applicability. A typical PhD will realise a salary benefit of around £70k, compared to an equivalent first degree only. Around 20% achieve substantially higher salaries in the financial services industry, (e.g. £40k plus bonuses, progressing rapidly to £150k).

21. SOME INHERENT DIFFICULTIES OF IMPACT ASSESSMENT (One instance of the problem of demonstrating causation in a complex system) 1.SYSTEMS AND MULTIPLIERS –linear models of innovation are being superseded by dialectical, systemic understandings innovation –The wider societal impacts from research are influenced by external, interacting factors (‘multipliers’) beyond the control of the research base 2.TIMING –Time lags (sometimes decades) between research outputs and eventual outcomes 3.PROJECT FALLACY –Connecting a major research output with any particular piece of research can often be difficult 4.PARTICULAR PROBLEMS WITH SHOWING INFLUENCE THROUGH IMPACTS ON POLICY AND CULTURE –Research is not the only influence on policy makers! –It is often very difficult to put a value ion such outputs.

22. Next Steps Better data –Understand long term PhD career trajectories –Survey the experiences and outcomes of collaborators –Refine end of project output reporting Better Management Information Systems Deeper evaluations –Programme/portfolio evaluation to cover impacts Strengthen in-house capability for economic argument and analysis

23. Research Council Delivery Plans Economic impact considerations now centre stage Practical steps to increase impact: –follow on funding –translational research –research collaborations –partnership and alliances Describe plans to partner TSB Demonstrate current impact (baseline) Published 11 December

24. Key Requirements Partnerships –HEIs/HEIs and HEIs/Funders –Business –Government Departments –International RCs –Charities –Public

25. KT Coordination Knowledge transfer schemes –Simplify presentation, terminology and branding –Consider user and academic perspectives RCUK Response to “Saraga” –Clarify IPR expectations and obligations Peer review implementation –Reflect economic impact considerations –Role of users in peer review Establish KT portal –improve access to research council schemes

26. Technology Strategy Board £120M in Partnership with TSB –Collaborative and complementary investments –All Councils, new sectors, new approaches Initial steps –Transition Group (strategic, managerial interface) –Build operational relationships –Joint KT Summit –Common stakeholders (e.g. UKTI, RDA/DA)

27. Current RC-TSB Collaboration Collaborative R&D –Co-funding for 6-monthly competitions –Joint RC/TSB application and assessment process Knowledge Transfer Networks –Co funding for KTN work-programmes –Support for Industry Club –Agent for Industrial CASE –Technology Translator

28. Current RC-TSB Collaboration Innovation Platforms –Intelligent Transport Systems: FITS programme –Network Security: Human Vulnerabilities, Balancing Privacy and Consent –Plans for Assisted Living, Low Carbon Vehicles, Low Carbon Buildings

29. Looking forward Evidence and measurement –HEBCI survey –RCUK studies and surveys –International comparators (e.g. AUTM/UNICO) Influencing and leadership –Partnerships (e.g. TSB, KT Summit) –Cultural issues e.g. innovation –Promoting success, role models etc –Incentives and rewards (HEIF, RCUK/RDA awards) –Clarity of expectations (e.g. Saraga on IP) –“Own house in order” (e.g. KT, peer review)