"More qualifications, more knowledge, more innovative science and technology"

José Manuel Mendonça, president of INESC Porto and scientific director of UTEN Portugal

 - How can science and technology stimulate economic growth?

-The purpose of scientific research is to push the limits of our knowledge in a given area and it often leads to the development of technology that did not exist before – new technology, new methods, new formulas, algorithms processes and molecules, etc. and these can have concrete and useful applications. Furthermore, the use of technology in the development of an innovative product or service with market value has enormous potential to generate new businesses with economic value and this makes the economy grow. This is because technology can resolve a problem that has not yet been resolved or meet a need that had not yet been met. Global high-tech businesses in areas such as chemistry, pharmaceutics, biotechnology, semiconductors, IT, materials, and aeronautics are created from knowledge and technology developed in research laboratories at universities and companies. The economic value of this knowledge and technology is unquestionable.

- How can science and technology propel the change in the economic fabric?

-The economic fabric transforms, forcing existing companies and businesses to evolve, they must improve their range of products and services, their costs, deadlines and quality. This transformation also creates new companies and businesses that offer new products and services to meet the emerging needs of the market or even anticipate them. This naturally leads to a more qualified workforce, more knowledge and more innovative science and technology.

In the first case, the existing mature companies in these sectors aim to adopt technology to improve their manufacturing processes and business processes, their products and services, making them more competitive, earning them a larger market share and protecting margins. In fact, they become better companies; they become more agile, more dynamic and more capable of competing internationally. This requires changes in the organisation, leadership, and often alterations to the strategy. The companies themselves transform and the economic fibre evolves.

In the second case, when a market requirement is not being met or a problem is unresolved, with new technology with the potential to be applied in a product or service that will meet this need or resolve this problem, a new business opportunity arises. An existing or new company can explore this new opportunity and this can help transform the economic fabric.

In both cases, the qualifications the companies require significantly increase and the new companies form a different type of organisation with a highly qualified workforce and a greater competitive capacity.

- How can we revive obsolete sectors of industry using knowledge developed at universities?

- Firstly, the competitiveness of these so-called “obsolete” sectors must be evaluated and the reasons for them being “obsolete” must be determined, for example whether it is the company, its products or its technology. Before a sector or company can think about developing an innovation and technology strategy and pathway that could be supported by knowledge from the market, companies, universities and from R&D institutes, they will have to design their own business strategy and define their status in the market. Only then comes the search for the knowledge that they need and do not have. For example, in the same sector, in the competition for the cost of grand products, technological platforms that are very different from those of the competition are normally required to make products unique.

- What role has the transfer of knowledge played in the modernisation of the Portuguese footwear sector which is now a world leader in various niche businesses?

- It is widely known that the footwear sector has been able to transform and evolve using the technological development of products, processes and even distribution, making products unique and streamlining companies. The numbers are there, this sector has maintained sustained growth during the financial crisis, exporting almost all of its production and bringing the average value of a pair of shoes closer to that of the world leaders: Italy.

This apparently recent success is the result of the sector’s Association and the Technological Centre’s strategy that was formed almost two decades ago and was persistently put into practice. The strategy included approaching universities and R&D institutes to get knowledge and technology in areas such as materials, CAD systems, optimised water jet cutting systems, automatic transporters, planning and production management systems and logistics. The results were a range of assets and equipment for the manufacturing of footwear with Portuguese technology that can be exported worldwide.   

- Which other sectors are good bets for the future?

- I would say that the sectors to watch for the future are the textile and clothing industries, electrical machinery, components for the automobile industry, moulds, machine tools, software and energy. They all focus on differentiation, using technology and innovative design and/or services. There is huge potential in some niche markets, such as biotechnology, medical devices or advanced materials and we hope that these strategies that are being formulated will come to be winning ones. 

- What role has UTEN played in linking universities and industry?

- The link between universities, research institutes, companies and industry must be supported by contractual relations that safeguard the interests of the parties in a number of relevant and complex aspects that are often ignored by both companies and universities. Contracts for R&D consortium projects often involve several different partners, technology providing companies, end user companies, universities and R&D centres, technology licensing contracts or sales to existing or new spin-off companies, projects with public support from the FEDER and/or the OE. These are all very distinct situations and in each one, defending the rights of the different parties involved, including researchers/inventors, is very important. 

The UTEN Program supports international training for university and R&D laboratory technicians that are responsible for negotiating these contracts, not only promoting seminars and training in Portugal with international specialists but also supporting internships in the US and in European institutions with vast experience in this area. In the last four years, dozens of these technicians have been involved in different specialised training activities and today they have a whole host of competencies of great value for our country.

- What can universities gain from strengthening the business fabric?

- A strong and sophisticated business fabric generates more value for the economy and pays taxes, allowing the State to fund both teaching and research at universities. Furthermore, the companies in this strong and renowned economic fabric will approach universities more frequently to begin projects for scientific and technological development, specialised consultancy or licensing for intellectual property that can be useful. This will allow them to compete globally and it will generate mutually interesting partnerships and contracts. The result is doubly important: it leads to new research and it proves the social relevance and the potential economic impact of this research. Just as Confucius says, “the essence of knowledge, is having it, to apply it”.

The third Annual UTEN Portugal Conference brought together Portuguese and international entrepreneurs, investors, CEOs, researchers and technology transfer professionals. They debated scenarios and the challenges that the financial crisis present for technology based entrepreneurs. The commercialisation and transfer of technology has an increasingly important role in transforming the economic and social fabric. In addition to being part of the launch of technology based start-ups that generate highly qualified jobs and increase exports, they stimulate university research through contracts for research and development activities from the private sector.

UTEN and the partnerships involved

UTEN is composed of universities and Portuguese scientific institutes that aim to convert international training into technology transfer and commercialisation.

UTEN is promoted by the Foundation for Science and Technology (FCT) in direct collaboration with the National Institute of Industrial Property (INPI) and since 2010, the Council of Deans of Portuguese Universities (CRUP). 

UTEN was launched in March 2007 as a knowledge network in partnership with the University of Texas at Austin as part of the international programme, the Collaboratory for Emerging Technologies (CoLab). Over the last four years, UTEN has gradually grown and benefitted from connections with international partners such as the Carnegie Mellon University (CMU), the Massachusetts Institute of Technology (MIT) and the Fraunhofer Institute.

UTEN’s mission is to construct a professional, globally competitive and sustainable technology transfer and commercialisation network aimed at international markets. The programmes and activities that have taken place since 2007 have strengthened and consolidated the network of emerging Portuguese technology transfer offices (TTO). Specialised training has accelerated the development of a professional network of TTOs and thus the commercialisation of science and technology in international markets.

OJE, 24th November 2011

06th December 2011