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The Yorkshire Enterprise Fellowship: translating research into commerce
Alice MacGowan and Suzanne Emmett
The UK’s universities are widely regarded as producing some of the most highly rated research in the world, with institutions being well represented in the upper levels of university ranking systems. However, there is increasing recognition that the processes necessary to engage the commercial potential of this research are not as well-established as they are, for example, in the USA.
To address this issue, there is a drive across the UK and EU to increase collaboration between industry and academia, by identifying the barriers to such interaction and encouraging the foundation of strong links between businesses and research groups. This is reflected in the general realisation that the outcome of publically-funded research will now be measured in terms of the impact upon society and growth of the economy.
Translation of academic research into a commercially viable opportunity is a complex process, requiring a strong understanding of the relevant markets, establishment of a solid intellectual property position, identification of appropriate funding streams and access to an experienced management team. Whilst the majority of universities have internal enterprise and innovation teams to assist in recognising those projects with relevance to industry, there remains a need to foster a culture of enterprise amongst researchers themselves and to provide business training. To fill this gap, a number of initiatives are now in place across the UK to promote entrepreneurial skills within the country’s universities.
One such scheme is the Yorkshire Enterprise Fellowship (YEF) project. The programme is supported by a £2.3M grant from Yorkshire Forward, the regional development agency for the Yorkshire and Humber region. The YEF initiative, which runs between 2007 and 2010, aims to raise the profile of the region’s research and boost the local economy by aiding the spin-out of new businesses from the participating universities and by generating return investment to the institutions through levered funding from grant awards and licence deals.
The YEF programme follows on from the success of its predecessor, the Bioscience Yorkshire Enterprise Fellowship (BYEF). The BYEF received £1.2M of Yorkshire Forward funding between 2004 and 2006, and resulted in the formation of 9 spin-out companies and over £4M of investment for the 29 Fellows.
The YEF project expanded its remit to include high-tech projects in chemistry and healthcare, alongside bioscience, and awarded Fellowships to 61 researchers from regional universities (Bradford, Hull, Huddersfield, Leeds, Leeds Metropolitan, Sheffield, Sheffield Hallam and York) and 4 researchers from local NHS Trusts. Fellows each receive a budget of £10000 to help support their research, but the main benefit of the project is the tailored training programme and the support of a business mentor over the course of the 12-month Fellowship.
Fellowships were awarded based upon the quality and novelty of the science, the potential for commercial exploitation and the commitment of the individual. Prior to commencement of the Fellowship, mentors were appointed to the projects based upon their experience in the project area and commercial background. Projects vary in their stage of commercial readiness, from early research at the proof-of-concept stage, to the development of medical devices with a prototype already available; the pairing of mentor to project, therefore, necessitates careful selection to ensure appropriate support. Interaction between the fellow and the mentor continues throughout the 12-month period, with quarterly review meetings scheduled with the project team, which also includes a university representative (typically from the institution’s enterprise office) and a representative from the YEF management team.
During the scheme, the Fellows have the opportunity to complete a development programme consisting of training in business finance and accounting, leadership skills and intellectual property (IP) management. The IP element is enhanced by attendance at one-to-one clinics with a patent attorney, whilst specialist master-classes in marketing, design, selling to the NHS and medical device regulations provide in-depth advice according to a fellow’s specific project requirements. Fellows are also able to practice their pitching skills at a mock investment forum run along the lines of the BBC’s Dragons’ Den programme.
In addition to the personal development and training aspects of the YEF, Fellows benefit from assistance with market research and are also given help in connecting with relevant funding sources, whether further grant funding (many fellows have benefited from the Yorkshire Concept: Proof of Commercial Concept fund) or private investment. The YEF management team also coordinate networking events and publicity for the Fellows in order to increase their profiles amongst the local business community.
The success of the YEF programme is evident; with the most recent cohort of Fellows yet to complete the scheme, the funding target of £3M has already been surpassed. Three spin-out companies have been formed by Fellows, as well as several businesses set up within the Universities. However, the YEF team recognises the importance of identifying the most appropriate route of exploitation of the technology, which is often a licence deal or an R&D collaboration. This element of the programme has benefited from supportive university enterprise offices, or in the case of the Fellows from the NHS Trusts, the backing of Medipex Ltd, the NHS innovation hub for the Yorkshire and Humber region, who continue to pursue commercialisation options at the end of the YEF year.
YEF director, Dr Suzanne Emmett, and Monitoring Officer, Dr Lindsay Georgopolous, have presented at a number of conferences (including Innovation Through Knowledge Transfer 2009, London, International Enterprise Promotion Convention 2009, Harrogate, ProTon 2010 Europe in Athens, as well as the Institute for Small Business and Entrepreneurship (ISBE) 2009, Liverpool) to demonstrate how the YEF programme can be used as an example of best practice to encourage enterprise and assist in translation of academic research.
With the growing need for accountability in public spending, science and technology have become increasingly responsive to the changing environment. To achieve the full promise of research in these dynamic sectors, the route to commercialisation must be further delineated in the UK. Fellowship schemes such as the YEF programme have demonstrated the value of providing business and enterprise training in an academic environment and aim to achieve recognition of the level of innovation existing within the UK’s industries and universities.
Alice MacGowan and Suzanne Emmett, YTKO Consulting Ltd