In Canada, a tech CEO recently told me that for every dollar invested in research and development (R&D) in colleges, on average five come back in return. Unlike in Australia and the UK where avenues for such investment are limited, Canada seems to have gotten the memo on the value of R&D in further education.
For the past 20 years, Canada has been building an enviable network of what they call Technology Access Centres (TACs), which drive applied R&D that supports businesses achieve commercial success. Universities are very good at turning money into research, rather than research into money. This is the role of TACs.
TACs in Canada provide businesses with access to cutting-edge facilities, equipment and support to enhance their technological capabilities. They are equipped with state-of-the-art tools and offer expert guidance from skilled professionals to help drive R&D. Key features include tailored services for product testing, prototyping and process improvement. Opportunities for collaboration foster an environment of shared knowledge and a drive for technological advancement.
Currently, there are 70 TACs operating. In some ways, they are both lighthouse and fire department in the regions they operate. They attract businesses and investment through the innovation and talent they provide while helping economies pivot in the face of market pressures or changes in demand. In the past 12 months, more than 6,000 businesses have commissioned research, in addition to 980 partners.
Relative to their impact, the ongoing investment that underpins this is tiny relative to comparable R&D programmes. Instead, the programme focuses on leveraging the ad-hoc and time-limited investment that is often a feature of vocational education and training policy around the world, as well as the myriad related industry grant programmes in operation.
Through targeted R&D support, TACs have validated a nanobubble ozone system that enhances food safety and shelf life. Another project improved solar panel efficiency using new materials tested in harsh climates, supporting renewable energy adoption and local production. A third initiative delivered a manufacturable battery pack prototype, enabling scale-up and better production. These few examples show how college-led innovation boosts industry productivity and public benefit.
What can the UK learn from this model? Four things struck me on my recent travels to Canada:
Build systems, not transactions
TACs bring together operating and capital investment along with services that promote engagement between colleges, universities and businesses. Through Tech-Access Canada, a body co-funded by colleges from the operational grants they receive, they have a clear steward to drive progress and share best practices between the different TACs to promote a common level of service excellence, for the benefit of their client companies across Canada. They don’t just connect businesses to colleges, but also to other programmes that help derisk investment in R&D.
Invest to build capability ahead of significant investment to scale
Colleges that aspire to have a TAC receive a small operating grant to help build capacity and capability within their institutions. It is not about flashy buildings but rather showing they can mobilise their existing resources to meet industry needs. This helps to keep the mandate narrow, rather than try to be everything to everyone.
Recognise and build from existing performance
To be recognised as a TAC, there is a competitive process that, until recently, included site visits that covered facilities and involved talking to staff, students, and partners. This ensures the capability and capacity exists to meet TAC standards and provide confidence to business partners. There are other funding supports for one-off projects, or aspirational centres. The TAC grant rewards established capacity and capability, not smoke and mirrors or good intentions.
Don’t be precious about intellectual property (IP)
The philosophy of TACs is that all IP generated leaves with the client. No equity stakes, royalties or other ties are involved. This approach is based on belief that the private sector is best placed to commercialise the results of R&D and does not want to encumber a small company on its commercialisation journey. The value to colleges is in the partnerships developed with these businesses, which often evolve to include employment for graduates, support in teaching, or provision of equipment.
TACs are not perfect. Use of the R&D tax credit in Canada continues to trend in the wrong direction and as funding dries up it will become more challenging for colleges to co-invest with government and industry in this critical infrastructure. However, the focus and entrepreneurial spirit that has bought them to this point provides confidence that the model can continue to evolve and grow as the need has never been greater.
As England embark on investment in college infrastructure though technical excellence colleges, it could do worse than look to Canada and consider the lessons learned over the past 20 years.
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