Partnerships are the order of the day; The U.S., like India, is breaking down barriers between industry and academe. Now Canada must step up

by E Wayne Ross on January 21, 2008

The Globe and Mail: Partnerships are the order of the day; The U.S., like India, is breaking down barriers between industry and academe. Now Canada must step u

Canadians have great expectations for the future. We want to be active players in the international arena, spearheading solutions to global problems, achieving breakthroughs in every field, creating and retaining ownership of international businesses, and winning Nobel Prizes.

This future could – and should – be ours. But in today’s ruthless global marketplace – where our competitors are leaping ahead of us through innovative policies and edgy entrepreneurial partnerships – we must quickly and strategically increase our competitiveness, productivity and innovation or risk being left behind.

Indeed, in spite of the strength of the Canadian economy, we are losing our competitive edge, failing to significantly improve productivity. Compared with our competitors, Canada has too few innovators, and too little entrepreneurial drive to bring our own ideas to market.

What is the solution? Radical, original ideas do not arise out of thin air – they are the product of untold hours of thought, research and experimentation. To be leading innovators and competitors, Canadians need to develop a bold new approach to R&D that generates major scientific discoveries, spearheads creative advances in the arts and accelerates the technical ingenuity needed to turn discoveries into life-changing technologies, products and improved quality of life.

A paradigm shift in global R&D is under way. For much of the 20th century, companies such as Bell and General Electric conducted their own basic and applied research. Many fewer companies do so today. Basic and applied research is too risky and time-consuming for the quick returns the market demands.

Yet, we cannot forget that discoveries arising from basic research seed innovation and change lives. The discovery of the transistor and laser in Bell laboratories led to the information technology revolution; Watson and Crick’s discovery of the double helix structure of DNA lies behind the latest advances in biotechnology.

Research today – in cutting-edge technologies such as IT, biotechnology and nanotechnology – requires specialized equipment and highly trained personnel, best supported by universities. Translating this research into commercially viable products and processes is best handled by expertise found in business.

Our global competitors have recognized this reality and have responded. India, a country that has struggled economically in the past, now has one of the most vibrant and diversified economies. During a recent visit there, I saw how this is transforming India’s approach to R&D.

In India – and elsewhere – highly flexible, collaborative partnerships, have changed how postsecondary institutions and multinational conglomerates, such as the Tata Group, work together. Agreements can involve faculty and graduate student grants as well as infrastructure support for the university. Companies gain access to state-of-the-art equipment while their employees have the opportunity to work in university labs, sometimes earning graduate degrees on the job.

Industry investment in university research is not new, but this kind of integrated partnership between industry and universities is. Intellectual property rights and issues such as academic freedom and academic publication – long considered insurmountable obstacles to such partnerships – have been resolved through a variety of creative mechanisms suited to particular agreements.

The United States, like India, is also moving in this direction and breaking down similar barriers between industry and academe. Companies such as Intel, Exxon Mobil, Chevron, GlaxoSmithKline and BP have established highly interactive relationships with universities across the U.S., investing millions in basic and applied research in return for greater access to university laboratories and expertise.

In Canada, the kinds of integrated partnerships developing in India and the U.S., however, are only just emerging. In one example, Xerox Canada has partnered with the National Institute for Nanotechnology at the University of Alberta through a combined investment from both private and public funds. Xerox researchers, university faculty, graduate and undergraduate students are working in the same facility, enabling a seamless exchange of ideas and personnel between the two sectors.

Agreements such as these are promising but only a beginning. Alberta, with its economic strength, has the resources to become a major centre of research excellence – a global “supermagnet” for the world’s top talent that will have a positive impact on the research culture and knowledge economy of the entire country.

How can we make it happen? Increases in funding will help, but determined strategic planning is equally vital. Universities, government and industry must tackle critical questions: What kinds of specific, directed investment in R&D will advance Canada’s capacity to be a global leader? What can governments do to encourage the right kinds of investment? What new partnership models will maximize the R&D strengths of both universities and industry?

A future in which Canadians are world leaders in research, business, industry and the arts will only be possible if today’s decision-makers have the will and determination to seek answers to tough questions. Like our competitors, we must think radically – to take risks in a world that no longer accommodates those who are comfortable waiting for the dust to settle. The future can be ours. Now is the time to make it happen.