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Tecna jobs and innovation ecosystems 6-1-2011



What are TECNA members doing in their regions? The Innovation Ecosystem and the Assets it comprises

What are TECNA members doing in their regions? The Innovation Ecosystem and the Assets it comprises



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    Tecna   jobs and innovation ecosystems 6-1-2011 Tecna jobs and innovation ecosystems 6-1-2011 Document Transcript

    • Jobs and Innovation Ecosystems - Implementation within TECNA Regions - June 1, 2011 Principal author: Jack Antonich President, Sales Leverage Group Support and consultation from: Matthew Nemerson President, Technology Councils of North America (TECNA) 2009-2011 President & CEO, Connecticut Technology CouncilJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 1
    • Table of ContentsI. Introduction/Background - page 3 National Focus on programs aimed at creating jobs The White House – Office of Science & Technology Policy (OSTP) Economic Development Administration (EDA) State Science & Technology Institute (SSTI)II. The Regional Innovation Ecosystem - page 4 Focus on Entrepreneurship, Innovation, Collaboration The Regional Innovation Acceleration Network (RIAN) Regions Assets Organizations Funding MetricsIII. TECNA – Member Highlights - page 18 Involvement in Innovation Ecosystems Mission Selected examples of successful situations:IV. Developing a Model(s)/Template(s) - page 35V. Observations/Best Practices/Summary - page 40VI. Thank you to TECNA members who participated - page 43Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 2
    • I. Introduction/BackgroundThere have been many calls for answers to the question: What can we, as a nation, do to satisfy theneed to create jobs for our citizens and restore our economy to a robust condition? Until recently,there has not been clarity surrounding this issue, and countries, world-wide, have continued to grapplewith trying to identify and implement the actions that must be taken to move forward.On January 31, 2011, the White House announced a new initiative called Startup America and anassociated public/private effort named Startup America Partnership. The primary goal of theseprograms is to increase the number of new high-growth firms; the ones that spur economic growth,promote innovation, and create jobs.For detailed information, visit: www.StartupAmerica.org and www.StartupAmericaPartnership.org.Startup America puts the emphasis on three ingredients for success: Entrepreneurship, Innovation andCollaboration.In line with this direction, the U.S. Department of Commerce’ Economic Development Administration(EDA) has provided the State Science & Technology Institute (SSTI) in Columbus, OH, with a grant towork on describing and planning for implementation of a Regional Innovation Acceleration Network(RIAN)This project melds with the thrust of Startup America in that it is focused on determining therequirements for creating an environment that is conducive to entrepreneurial development, andsupports the start-up and growth of companies that have the potential to develop innovative productsand services and scale to a size that will produce a significant number of job opportunities.EDA’s mission is to assist underserved regions. There are approximately 350 identified regions in theUnited States. Of those, a small percentage of large regions have made significant strides towardbuilding Innovation Ecosystems. The plan would be to learn from those that have demonstratedsuccess and assemble information, guidelines and best practices; and possibly create models thatwould be useful to regions that have not yet developed in this area.John R. Fernadez, Assistant Secretary of Commerce for Economic Development, in testimony to theU.S. House of Representatives subcommittee on Commerce, Manufacturing and Trade 3/3/11,described the EDA’s Jobs and Innovation Partnership program as being designed to “increase theeffectiveness of EDA’s investments by cultivating public/private partnerships and supporting strategiesthat capitalize on regional assets and collaboration to create jobs and encourage business expansion.”The EDA RIAN project, in support of EDA’s goals and objectives, is focused on two main areas: TheInnovation Ecosystem and the Assets it comprises.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 3
    • II. The Regional Innovation EcosystemThe word ecosystem is an apt metaphor describing the inter-relationships and inter-dependencies ofelements within an environment. When applied to an economy, it relates to all the people andorganizations that add value in the economic system to produce income and wealth accumulation thatultimately contributes to the prosperity of all. In some regions it is referred to as an Innovation,Entrepreneurial, Business or Economic Ecosystem or possibly Tech-based economy or Tech BasedEconomic Development (TBED). The differences appear to reflect individual focus. For example, one area might want to emphasize thetech sector which is looked to for coming up with new ideas and commercialization prospects. Inanother area, the thinking and message may be more focused on attracting and encouragingentrepreneurs who they want to start and grow businesses. (see Figure 1.)Clusters, for instance, typically have an industry orientation such as Software/IT, Bioscience,Manufacturing, etc. but, in some instances, reference will be made to Innovation Clusters which maybe more general, in nature. (see Figure 2.)For example, the Administration’s initiatives describe Regional Innovation Clusters (RICs) as “ageographically-bounded, active network of similar, synergistic or complementary organizations whichleverage their region’s unique competitive strengths to create jobs and broader prosperity.”When innovation is viewed by the scientific or academic community, the emphasis would probably beon research and development, invention and scientific breakthrough. For instance a PowerPointpresentation given by Thomas W. Peterson AD, Engineering titled “Creating an Innovation Ecosystem”10/29/2009 puts forth the idea of “NFS Centers as a Hub for Regional Innovation Clusters’” states that“University Research is key and that Faculty are involved along the innovation continuum, working withindustry at all stages.”However, a business person’s view of Innovation might be very different. In 2006, in an IBM survey,765 business leaders and CEOs were asked to identify the most significant sources of innovative ideas.Many business leaders said employees, business partners, and customers—and far fewer identifiedinternal R&D, sales, or service units. (see Figure 4.)In any event, there are more similarities than differences in their objectives, and what is identifiedwithin a region as being the necessary ingredients to accomplish them. For simplicity sake, we will usethe term “Innovation Ecosystem” in this report but it is intended to reflect most of what would beincluded in ecosystems, networks or clusters that are labeled differently.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 4
    • Figure 1. Innovation Ecosystem – Innovation Coalition Regional Innovation Clusters Five Key Components to Consider When Defining Unique Regional Assets ECONOMIC ENTRE- What you make, BASE PRENEURSHIP Your capacity to create including your existing & prospective industry companies wholly new clusters or from existing firms What you do: your Your capacity to workforce skills & INNOVATION innovate and generate human capital base TALENT & IDEAS new ideas Location, Infrastructure, Amenities, Factor Costs, Natural Resources EDA The basic conditions defining the economic milieu of the region Figure 2. Regional Innovation Cluster - EDA Figure 3.Babson Global – © 2009 2010 2011 - Daniel IsenbersgJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 5
    • EMPLOYEES - BUSINESS PARTNERS - CUSTOMERS - CONSULTANTS - COMPETITORS - ASSOCIATIONS, TRADE SHOWS - INTERNET SALES & SERVICE UNITS - INTERNAL R&D - ACADEMIA - 0% 10% 20% 30% 40%Source: IBM "The Global CEO Study 2006: base on interviews with 765 CEOs and business leaders Figure 4. Most significant sources of Innovative IdeasRegionsEcosystems appear to develop within geographic areas that are defined by the proximity of the players.We refer to theses areas in this report as regions. Regions, in the context of this report, typicallyencompass a 25 miles radius of a hub city within a state or province (A few people, interviewed,indicated an influence of up to 50 miles). Even in smaller states, like Connecticut, where theConnecticut Technology Council operates state-wide, regions exist in Greater Hartford, Greater NewHaven and Greater Stamford. Beyond that, smaller regions develop around other cities that aresomewhat distant from the major areas. This seems to be pretty much dictated by convenience andunwillingness to travel beyond a certain distance in order to be associated with a particular region.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 6
    • AssetsLike the word Innovation, the word asset can mean different things to different people. It is importantto achieve a common understanding of what is included under this heading because it really speaks towhat exists, and what needs to exist, in a functioning Innovation Ecosystem. Following are twoexamples of how assets are described:1. SSTI has developed the following list for Innovation Asset Requirements“For an entrepreneurial ecosystem to flourish, the following assets must exist within a region:”Tangible Assets • Entrepreneurial Capacity • Business Acumen • Risk Capital • R&D Enterprise • Technology Commercialization • Human Capital • Physical Infrastructure • Industrial Base • Global LinkagesIntangible Assets • “A Buzz” • Networking Opportunities • Culture that is Supportive of Innovation • Community MindsetBusiness Climate Assets • Government Policies • Quality of LifeSSTI has created detailed descriptions of each of the above elements and has also developed metricsthat can be used to determine the presence of an asset within a region.SSTI also prepared a “Resource Guide for TBED” for the EDA in which they say: “Based on theexperience of tech-based economies like Silicon Valley, Research Triangle, and Route 128, it is generallyacknowledged now that the following elements are required for a tech-based economy: • An intellectual infrastructure, i.e. universities and public or private research laboratories that generate new knowledge an discoveries • Mechanisms for transferring knowledge from one individual to another or from one company to anotherJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 7
    • • Physical infrastructure that includes high quality telecommunications systems an affordable • high speed Internet connections • Highly skilled technical workforce • Sources of risk capital • Quality of life, and • Entrepreneurial culture”2. A second description comes from Communitech, a technology organization in the Waterloo region ofOntario which describes itself as an Enabling Organization and Ecosystem Catalyst. They describe thecore elements of an ecosystem which support a tech cluster as including the following five C’s:Culture • Risk-taking • EntrepreneurshipConnectedness • Uber-networks • Partnerships – usual and unusualCapability • System-wide i.e. Tech talent and business talentCapital • The right kind at the right timeCommunity • Identification with industry/ cluster as well as companySo; assets appear to be a combination of organizations, resources and a supporting structure orfoundation which is both tangible and intangible. As we’ll see, further on, one of the first steps indefining the Innovation Ecosystem, within a region, will be to inventory or “map” the existing assets. Itis at this point, and beyond, that there must be a level of common language and detail that can beeasily understood and agreed to by all stakeholders in the region.Another way to view the landscape is through the eyes of the entrepreneur. In simple terms, theywant to know what resources and services are available, and who provides them. Keeping in mind theobjective of supporting entrepreneurs who are thinking and acting innovatively to start and growcompanies with high scaling potential, there must, first of all, be understanding of the kinds ofresources and services that would be of most use to that contingent.Resources seem to be able to be grouped into six or so categories. This first level grouping usuallyreflects what the entrepreneur is looking for, in general, and provides the first step toward being ableto funnel them to the specific resource or service for which they are searching. A breakdown ofcategories and some of the sub-offerings might be:Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 8
    • NETWORKING: Events/Conferences: Assist Entrepreneurs in connectingCAPITAL: Provide direct funding to entrepreneurs Facilitate connection to funding providersREPRESENTATION: Perform lobbying activities on behalf of entrepreneurs Promote companies, industry, economic development Coordinate with other organizations that lobbyKNOWLEDGE: Seminars Webinars Programs/Courses Web resources Newsletters, Magazines, Alerts, Announcements Coordinate with other organizations that supplySERVICES: Incubator (office space plus) CEO in Residence Mentors/Coaches/Counselors Peer-to-Peer Groups Website services (jobs, internships, directories, calendar, etc.) Coordinate with other organizations that supplySUPPORT: Promote Innovation & Commercialization Publicity and Recognition Ecosystem Development Developing / Maintaining Culture of ……………… Workforce development, attraction & retentionJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 9
    • OrganizationsOrganizations, of course, already exist in every area and they came into existence because of someneed that was identified, and a decision that was made to do something that would satisfy that need.Some have a narrow focus and others a broader one. Some provide a single service while others workmore expansively.Using a list of assets / resources / services previously described, it now falls to identifying theorganizations that are in a position to supply some, most or all of them. Following are descriptions andexamples of types of organizations that can be considered.Venture Development Organization (VDO)SSTI uses this description of what has become an increasingly used term to describe the type oforganization that is needed to achieve stated goals. It states:“A VDO is a public or nonprofit organization that contributes to economic development by providing aportfolio of services, including: assisting in the creation of high-growth companies; providing expert business assistance to those companies; facilitating or making direct financial investments in companies; and, speeding the commercialization of technology.”“A high-performing VDO will draw on the existing strengths of the region’s innovation system anddevelop programs and initiatives targeted to overcome the system’s weaknesses.”Enabling OrganizationsCommunitech provides the following description. “An enabling organization is one that providesleadership to a specific industry, effectively bridging, bonding and directing multiple partners indelivering toward a common agenda. They assume responsibility for being ahead of the curve, takingon issues and opportunities at an industry level. Different than old-style associations, enablingorganizations think deeply about industry and company needs, and apply considerable strategy andintentionality in engineering outcomes that deliver robust tech clusters, resulting in more jobs, morecompanies and more wealth. They’re key players in the business ecosystem.”“There’s no one model that defines an enabling organization. They can be: • Business Incubators • Economic Development Agencies • Trade Associations • Off-shoots of Universities • Tech Councils”Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 10
    • Other Organizational examples:- JumpStart, Inc.- www.jumpstartinc.orgLocated in Cleveland, JumpStart is part of Northeast Ohio’s entrepreneurial and innovation ecosystemand they state that: “Supporting entrepreneurs with high growth companies in Northeast Ohio byproviding intensive technical assistance and investment dollars has been, and continues to be, at thecore of our mission.” Their aim is to “transform the economic impact of entrepreneurial ventures andthe ecosystems supporting their growth.” There are three ways in which they do this.“First, JumpStart provides intensive entrepreneurial development assistance to Northeast Ohioentrepreneurs leading high potential, early-stage companies.”“Those services are delivered by former successful entrepreneurs (called Venture Partners andEntrepreneurs-in-Residence) who work one-on-one with entrepreneurs to establish and achieve value-creating milestones of growth, such as raising capital, generating revenues, testing the commercialviability of their product or service, and moving the product or service into the market.” • JumpStart Ventures guides entrepreneurs with high- potential businesses down the path toward wealth creation by providing seed capital, experienced advisors, and a network of vital resources. JumpStart Ventures invests in innovative, early-stage companies that are positioned to excel in high opportunity markets, focusing on entrepreneurs with breakthrough, market- driven technologies likely to create high growth companies. • JumpStart Inclusion Advisors guides high impact minority and women entrepreneurs seeking to raise capital from private investors in order to grow their companies into larger scale national and international firms. It also works with entrepreneurs leading high impact companies located in the urban centers of Northeast Ohio.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 11
    • “Second, JumpStart supports the growth and strengthening of Northeast Ohio’s innovation andentrepreneurial ecosystem, which supports entrepreneurial ventures. An ecosystem is all the elementsnecessary for the creation of a thriving entrepreneurial economy. There’s no one element and no oneorganization that supports entrepreneurship on its own. JumpStart advocates for the entrepreneurialeconomy to secure a continuous stream of resources for entrepreneurs, engaging and acting withfederal, state, and community policy makers, civic leaders, and leaders in the venture capital and angelinvesting communities.”“Often the resources go to the entrepreneurs directly or are deployed by other non-profit economicdevelopment organizations or investors. Examples of this work include: • Launching and managing the JumpStart Entrepreneurial Network, a network putting entrepreneurs front and center in Northeast Ohio by creating a collaboration between Ohio Third Frontier-funded entrepreneurial support organizations. • Leading the creation of North Coast Angel Fund, Northeast Ohio’s first managed angel fund which has invested in over 17 companies. • Leading the Venture Capital Advisory Task Force to further entrepreneurial investment and success in the region. • Securing over $18 million for the region’s entrepreneurs through successful funding proposals to Ohio Third Frontier.”JumpStart Entrepreneurial Network“The JumpStart Entrepreneurial Network is a connected group of Northeast Ohio entrepreneurialsupport organizations, all funded by Ohio Third Frontier. The Network provides entrepreneurswith one easy point of entry – www.jumpstartnetwork.orghttp://www.jumpstartnetwork.org/ – toconnect with the right resources to start. Once in the Network, entrepreneurs continue to beconnected to the right at the right time, all to grow their business.”“The Network members include pre-seed and seed funds, business advisors, accelerators, andincubators. Network members include:”Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 12
    • JumpStart Entrepreneurial NetworkRay Leach, JumpStart’s CEO has recently announced “JumpStart America”, a 501c3, which is an initiativeof the Startup America Partnership. JumpStart America’s activities will be aimed at “raising andaggregating financial resources to further the creation and development of entrepreneurial ecosystems,and serving as a national best practice in venture development …”- TechStarsTechstars is a mentorship-driven seed stage investment program run in four locations: Boston, Boulder,New York and Seattle. Programs are three months long and about ten companies participate in eachone. They provide up to $18,000 ($6,000 x 3 founders) in seed funding for the three months spent at astartup accelerator. The program stresses coaching, mentoring and preparation for raising capital fromangels and venture capitalists. Techstars wants to be viewed as a co-founder and takes an equityposition in the startup.Recently, TechStars has joined Startup America Partnership and announced the creation of “TechStarsNetwork” which includes 15 independently owned and operated regional organizations that seek toreplicate the TechStars model.“The TechStars Network will provide significantly expanded best practice sharing, networkingopportunities, training and ongoing support for members of this regionally diverse network, from Miamito Seattle and from Nashville to New Orleans. Over the next three years, the TechStars Network willensure that 5,000 successful and experienced entrepreneurs and investors will mentor and support6,000 promising young entrepreneurs, increasing their success rate tenfold and creating 25,000 newjobs by 2015, while creating a sustainable engine for growing these figures over time.”Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 13
    • - Y CombinatorSince 2005, Y Combinator, Mountain View, CA provides a similar offering of seed funding and mentoringas TechStars does. Startups spend 3 months in Silicon Valley refining their business plans and preparingto pitch to investors. There is an alumni network which support continuation of support beyond the endof the program- Mass Challenge“Mass Challenge is a non-profit organization, located in Boston, that connects early stageentrepreneurs to the resources they need to launch high-growth, high-impact businessesimmediately.”Primary activities included running an annual global startup competition and an accelerator programwhich focuses on organizing and documenting key resources, and organizing training and networkingevents.In January, 2011, it was announced that Mass Challenge would be a partner in the new Startup AmericaPartnership. “As a partner organization, Mass Challenge is engaged in a coordinated public/privateeffort that brings together an alliance of the country’s most innovative entrepreneurs, corporations,universities, foundations, and other leaders, working in concert with a wide range of federal agencies todramatically increase the prevalence and success of American entrepreneurs.”Other Stakeholder Organization Categories • Colleges and Universities • State Government - Executive/Eco. Dev. Agencies • Venture Capital • Angel Investor Groups • Lending Institutions • Foundations • Chambers of Commerce • Local Economic Development Entities • Incubators/Accelerators • Federal - SBA, SBDC, WBDC, SCORE • Trade Organizations • Service Providers • Corporations • Entrepreneurs & Small-business Executives • MediaJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 14
    • Organizations in the same category (Chambers of Commerce, Universities) should not betreated alike. In different regions they can operate in completely different ways. SomeChambers run incubators; others do not. Some Universities provide direct funding; others donot. This relates to the asset mapping step where there needs to be an understanding of whatresources/services are being searched for, and which of those resources/services might besupplied by a particular organization. It is unlikely that only one organization in a region willsupply all necessary elements.FundingMost Tech Councils generate revenue from a combination of sponsors, event proceedsmembership dues and grants. The amount in each of these categories varies widely and alsodoes the presence or absence of grant money.Without having much detail for support, it appears that the degree of implementation ofInnovation Ecosystems has been in direct relation to funding from public sources at thefederal, state, provincial, regional and local levels. Canada appears to have taken the lead inthis area based on their accomplishments across the country.In the United States, there is strong interest by the Administration and the EDA to haveeconomic accelerators like Innovation Ecosystems implemented throughout the country.Budget battles will most likely determine the extent of funding that will become available, butit is expected that some significant amount of money will be made available for this purpose.MetricsThe basic driver for implementation of Innovation Ecosystems is job creation and so it follows that is thebottom line of any program. However, because programs such as these do not produce results overnight,most programs track progress by measuring the number of new start-ups and reporting on the activitiesand actions surrounding the support that has been provided to them.Following are two examples of reported results along with some stated goals going forward.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 15
    • StartUp Tulsa“A publicly and privately funded, entrepreneurial, economy-building endeavor of the Tulsa EconomicDevelopment Commission who’s mission is to accelerate the growth of a culture of startups generatinglocally grown jobs, enhancing and expanding Tulsa’s entrepreneurial economy.”Five-year goal: Generate 226 new operating startups, resulting in 949 new locally grown jobs with averagesalaries of $46,043. Entrepreneurial Ecosystem by the numbers 2007-2010 – (Results) • Startups inspired to participate……..615 • Startups operating…….64 • Jobs created…..269 • Amount added to Tulsa’s annual payroll…..$12,376,358 • Average Salary…..$46,043 • Money raised…..$14,875,000 Measuring success: (Goals) • Add $43.7 million to Tulsa’s annual payroll. • Inspire 2,200 new entrepreneurial startups. • Support the creation of six new entrepreneurial programs. • Grow 1,518 indirect jobs. • Grow Tulsa Global Entrepreneurship Week participation by 35 percent. Information: www.startuptulsa.comWaterloo Region Tech Ecosystem Snapshot – 2009 • $18B tech sector revenue • $84 million deal flow in 2009 alone • 711 tech firms employing 30,000 people • $350M worth of private sector R&D conducted in the Region • 631 patents granted per million (3x national average) • 200+ tech start-ups benefitted from more than 7,000 hours of venture services offered free of charge by Communitech and the Accelerator Centre • $300M venture and angel financing raised funds in 14 months • 2,000 tech jobs currently available; tech sector has experienced 7% employment growth in five yearsJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 16
    • Waterloo Region Tech #firms %Digital Media and ICT 356 50Mobile 71 10Software 92 13Internet Software 57 8Other (mfg, telecom, IT, etc.) 71 10Clean Tech 21 3Life/Health Science 43 6Total 711 100Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 17
    • III. Technology Councils of North America (TECNA) – Member HighlightsWhat are TECNA members doing in their regions?This report is the result of research on technology councils in regions throughout the United States andCanada, and interviews with 39 tech council CEOs and Executive Directors. Following is informationgathered from the interviews and from Tech Council websites which reflect what a selected number ofTechnology Councils have already been doing relative to the creation and nurturing of InnovationEcosystems.The Technology Councils of North America demonstrate broad coverage across the U.S. and Canada asreflected in the following maps. This is not only meaningful in terms of the number of regions but alsoin the fact that they are located in areas of greater population density and represent a large number ofthe innovative technology companies that are being relied upon to achieve success, grow, and providethe jobs of the future. WA MT ME ND MN VT OR NH WI ID NY MA SD MI WY RI PA CT IA NV NE NJ UT OH CO IL IN DE WV MD CA KS MO VA KY NC AZ TN NM OK AR SC GA MS AL LA TX FL Technology Council Regions in United States TECNA CEO Retreat Austin, TX 4/10/11 – 4/12/11Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 18
    • Technology Council Regions . in Canada . TECNA CEO Retreat Austin, TX 4/10/11 – 4/12/11TECNA Member HighlightsCommunitech – Waterloo Region, Ontario, CA www.communitech.caCommunitech is truly representative of an organization that has embraced the idea and concept of theregional ecosystem with a focus on delivery of needed resources to innovators and entrepreneursthrough collaborative efforts of regional partners. They have gone beyond successful implementationand have already taken steps to share their experiences in a way that can be useful to otherorganizations desiring to create a similar environment in their regions.“In brief, Communictech has evolved. From our early days as a trade association representing a handfulof tech companies, we’ve become an enabling organization that is a key driver of dynamic growth andsuccess for tech companies in Waterloo Region.”“In 2010, Comminitech is: A CATALYST for technology-focused economic development in WaterlooRegion, VESTED in every organization with potential to impact the success of our companies. We knowwhat they do and how they help, RESPONSIBLE for community awareness of tech sector needs, and techsector involvement in community needs, FIRMLY COMMITTED to the needs of tech companies at alllevels, and to continually improving our capacity to deliver.”Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 19
    • Communitech, in 2010, hosted a conference called “Enable U. – Get Your Tech Ecosystem MBA “,covering what a successful ecosystem looks like and what it takes to build enabling organizations. Inaddition, a follow-on, 34 page report titled “Building Better Ecosystems: a handbook for tech clustergrowth and success” was released; describing, in detail, the steps required to understand thecomposition of an ecosystem, how to go about building an enabling organization, and how to identifyand engage partners to work in a collaborative manner.The PowerPoint presentation slides used at the conference and the handbook can both be accessedthrough the online community at www.technologycouncils.org. Enabling organizations Entrepreneur The Company Government Venture Services/EiRs Knowledge Creation Angels Public Venture Listing Capital Agencies Financial Firms 550 Institutions Tech Firms Financing Expertise Professional Services Firms Entrepreneurial Culture TECNA CEO Retreat Austin, TX 4/10/11 – 4/12/11 Waterloo Region EcosystemCommunitech is proud of its Accelerator Centre which is home to 25 start-ups who are able to takeadvantage of a team of mentors and advisors, and be part of an innovation community. Likewise,another popular program has created, and manages 24 different peer groups based on special interest,job function and industry.Communitech is also a member of the Ontario Network of Excellence (ONE). This is a network of 19regional not-for-profit organizations throughout Ontario, which provide services similar to thosedescribed above. More information can be found at www.oneinnovation.ca.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 20
    • Automation Alley, Troy, MI www.automationalley.com“Automation Alley exists to grow the innovation cluster of Southeast Michigan. We create businessdevelopment opportunities and results for our members and stakeholders who share our values. Ourvision is that Southeast Michigan will be globally acknowledged as the leading technology and innovationregion in the United States by 2020.”“Automation Alley brings together businesses, educators and government to help entrepreneursaccelerate the commercialization of new technologies and services. With our support and resources,ideas are turned into usable, marketable technology solutions. To date, the Alley has invested more than$6 million in 29 technology-driven companies across Southeast Michigan.Spurred by the rapid growth of Automation Alley, the business acceleration program was conceived as anucleus for technology commercialization activities. It draws on the region’s prolific state-of-the-artresources, high-tech innovation, highly educated workforce and outstanding academic, business andentrepreneurial talent.Serving a wide variety of clients and customers: • Innovators and entrepreneurs seeking to turn ideas into profits • Businesses and government organizations seeking new technology solutions • High tech start-ups • Investors interested in new enterprises • University research facilities and technology transfer officesIn addition, Automation Alley provides a variety of services designed to help Southeast Michigansentrepreneur succeed: • Business coaching to help companies succeed • Entrepreneurial resources that offer a variety of local partners and resources • Seed funding for local technology start-up companies • Entrepreneurs Initiative of Southeast Michigan (EISEM), a series of programs that works to highlight regional entrepreneurs and their businesses • EntrepreNews (a monthly entrepreneur-focused eNewsletter)”In June 2010, the New Economy Initiative for Southeast Michigan, a philanthropic organizationcomprising ten national and local foundations, awarded a $3 million grant to a newly formed BusinessAccelerator Network for Southeast Michigan. Automation Alley is one of four key business acceleratorswhich will work collaboratively to focus on workforce and business issues.Within the first six months after founding the Business Accelerator Network, the Kauffman Foundationcompleted a mapping of the existing assets that exist in the network in the areas of education, coaching,funding, university relationships and use of volunteers. They found that the organizations supply theservices and support that are necessary to sustain a strong entrepreneurial ecosystem. Now, by workingcollaboratively and leveraging their capabilities through the network, they will be able to extend theassistance to entrepreneurs that will help them grow their businesses faster.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 21
    • TechColumbus, Columbus, OH www.techcolumbus.org“TechColumbus accelerates the growth of the innovation economy by providing vital resources andassistance to people and enterprises that depend on technology to achieve their business goals.”“TechColumbus is the catalyst for technology-driven economic growth in Central Ohio. We work tocreate new companies, strengthen existing businesses, open doors to technology resources, helppromote and attract the next generation of high-wage/high-growth industry sectors, support theattraction and retention of talented people, and promote opportunity for all citizens. Within a decade,Central Ohio will be widely recognized as one of the premier technology-enriched communities in theworld and a leader in tech-related business formation, expansion, and attraction.Growth drives everything we do. We help start-ups grow their concepts, their maturity, their abilities, andtheir ambitions. We help established companies grow their business, their capabilities, their connections,and their knowledge. And we help individuals grow their careers, their expertise, their networks, andtheir confidence. Every day, TechColumbus provides the people, information, and funding critical to athriving innovation economy.Our ultimate goal is to accelerate business growth, job creation, and prosperity in the 15-county region ofCentral Ohio. TechColumbus runs a world-class technology business incubator and works withentrepreneurs and investors to develop and launch technology start-up companies, as well as grow youngcompanies that will provide the jobs of tomorrow.Connecting the regions world-class tech assetsThey are the envy of most U.S. cities: OSU - a top 10 research university, Battelle, Columbus ChildrensResearch Institute, OhioHealth, 15 Fortune 1,000 companies, thousands of small and large tech-based andtech-enabled companies, and a large, growing young professional community. TechColumbus facilitatescollaboration among these tech assets and provides the resources and assistance needed to acceleratebusiness and overall economic progress.Leading regional initiativesTechColumbus advocates for major regional initiatives that strengthen the tech economy. One example istalent development and attraction -- many Central Ohio companies (large and small) are growing rapidlyand can’t find the technical talent they need to fill existing openings. Working with the Chamber andothers, TechColumbus provides programming and services that develop and retain the current workforceand help attract young professionals to the community to fill essential roles in our economy.The TechStart program is the result of millions of dollars invested in the central Ohio innovation economyby the Ohio Entrepreneurial Signature Program, the Third Frontier Project, and other partners.From world class incubator and office space, to access to federal grants, we provide additional servicesand resources that help central Ohio start ups succeed.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 22
    • We give innovative companies what they need to grow: start-up mentoring and consulting, business plandevelopment, a strong pathway to capital investment, marketing assistance, and affordable, high-endoffice, meeting, and lab facilities for our incubator clients.TechStart’s commercialization experts help evolve innovations into real products in the fields ofInformation Technology, Bioscience, and Advanced Materials.Experienced guidance is just as important as funding. So we strengthen emerging technology leaders withongoing mentoring, resident programs, and commercialization efforts.Access to capital. It’s what every tech startup needs to grow — and it’s a major component of what weprovide, from public and private investment sources.”SIRTI, Spokane, WA www.sirti.org “Sirti is a Washington State economic development agency that accelerates the development andgrowth of innovative technology companies in thehttp://www.sirti.org/Portals/0/Images/area-served-map.jpg Inland Northwest — especially in Eastern Washington. Through a collaboration of business,higher education and government, Sirti fosters an environment where entrepreneurs and small start-upcompanies can flourish and high-growth companies can focus on their efficient growth.”“Sirti’s roots are in the transformative thinking that changed the region’s business climate from one thatwas natural resource driven to one that is now technology-based. Today our region’s community leadersand stakeholders enthusiastically embrace and promote this evolution in regional economic goals andachievements. This spirit of cooperation between government and civic organizations, colleges anduniversities, and leading technology-based businesses results in a creative business environment whereSirti clients learn from experts, contribute innovative ideas, and with hard work, inspired coaching andcollective support, grow and prosper” “Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 23
    • Arizona Technology Council, Phoenix / Tucson, AZ www.aztechcouncil.orgThe Arizona Technology Council acts in a number of different areas to promote connections andinteractions between members of the innovation community in the state. This manifests itself in theirsupport of the Arizona Science and Engineering Fair, the Arizona Science Bowl, the www.GetSTEM-az.comwebsite for collaboration of industry and educators and support for “Project Lead the Way” middle andhigh school engineering and bio-medical science programs.The 2012 Arizona Science & Technology Festival, a two-week event, is a grassroots public-privatecollaboration of the Tech Council, Arizona State University, and dozens of organizations across industry,business, education, philanthropy, and the community. Its aim is to expand science, technology andinnovation, build local capacity, inspire a competitive workforce and draw world-leading talent to Arizona.Addressing the importance of jobs and economic development, a comprehensive technology workforcestudy was completed. The purpose was to assess the balance, past and future, between supply anddemand for technology workers in Arizona and the likelihood that there will be a shortage of technicalworkers over the next decade. The information will be valuable in determining what workforce trainingand development will be needed to keep pace with the needs of industry.Actively advancing technology throughout the state, the Arizona Technology Council provides resourcesand business development opportunities to its members through: • Public policy initiatives that promote the technology industrys interests to elected officials • Educational forums, networking opportunities and company-showcase events that connect and educate the technology communityInnovation has been identified as one of the key drivers in job creation and economic development. So,what does it mean to be innovative and how does one go about it? The answer might come from thenew Arizona Innovation Institute. This initiative of the Arizona Technology Council Foundation, offersgroundbreaking training in creativity and decision-making methodologies to Arizona businesses andorganizations, large and small alike. Previously, this training, which has proved to increase profits, driveinnovation and create jobs, was only available to major organizations.The Institutes classes and on-site sessions address innovation by developing new ways to discoverimportant and emerging customer needs, processes for creating business strategy, and methods forcreating breakthrough solutions to existing business challenges. Participants also benefit from skilltraining for new product and service development.The Institute, in collaboration with the renowned Dr. George Land and Dr. Beth Jarman’s FarSightGroup, Inc., is now offering Arizonans this proprietary, systematic approach for organizationaltransformation and innovation, which has boosted the bottom line for major organizations throughoutthe world.And, on the heels of a successful inaugural trade delegation to China, the Arizona Technology Council hasteamed with the Arizona Chamber of Commerce and Industry to provide another exploratory mission toChina for Arizona business leaders in 2011.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 24
    • i2E, Oklahoma City www.i2E.org“i2E, Inc. is a private not-for-profit corporation focused on growing technology-based companies inOklahoma and making a positive impact on the state’s economy.i2E’s stated mission is “Home grown economic development by fostering the birth and nurturing thegrowth of advanced technology companies in Oklahoma.”“We achieve our mission by working directly with entrepreneurs, researchers and companies to helpthem commercialize their technologies, launch and grow new businesses and access needed capital. Ourclients like the fact that our staff consists of experienced entrepreneurs and investors who have walked intheir shoes.Busy entrepreneurs tell us that our model works for them because we not only provide high qualitybusiness advice, capital and entrepreneurial development, we act as a portal to other private and publicresources — making it easier to access the right information, expertise and investment at the right time.At i2E, we are not only in business to help entrepreneurs and investors turn ideas into successfulcompanies; we are in business to grow Oklahoma’s economy. Our clients provide well-paying jobs, bringnew wealth into the state, and attract top tier talent. We are proud of our results, and our strong trackrecord has made us a national model for other states and regions.Each year, we serve more than 200 entrepreneurs, inventors and companies representing biotechnologyand life sciences, IT and software, energy, advanced materials and manufacturing, and more. Our clientsare in all stages of business development; ranging from proof of concept and seed stages to start-up andearly stage growth. Some are producing sales revenues and others are still in pre-revenue stages. And, ourclients are found in all regions of our state — both urban and rural.Our services act as a catalyst for Oklahoma’s economy. While you can find more details in our full ImpactReports, here are a few highlights of how we leverage our resources into economic results:http://www.i2e.org/library/2009-annual-report/- Growing Jobs: While Oklahoma’s job base has grown less than 5 percent each year since 2003, ourclients added jobs to their payroll at a rate more than 20% each year.- Fostering Livable Wages: Average wages of client companies are more than 60% higher than the stateaverage wage.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 25
    • - Creating New Wealth: While less than half our clients are typically in revenue producing stages, thosethat do produce report more than 90% of revenues from markets out of state – which means new wealthin being brought into the state.- Expanding Access to Capital: Between 40-50% of our clients raise equity capital. Through the TechnologyBusiness Finance Program (TBFP) and the Oklahoma Seed Capital Fund (OSCF), companies have used$26,553,345 to attract $238,603,738 in private investment. That’s new investment into our state’seconomy.- Leveraging Private Investment: The TBFP has been in operation long enough to calculate its return onpublic investment. To date, over $9.5 million has been loaned to 100 Oklahoma-based companies. Thesecompanies have used TBFP funds to leverage more than $221.5 million in private sector capital—that’s$23.32 of private capital for every TBFP (public) dollar invested.Illinois Technology Association, Chicago, IL www.illinoistech.org“The Illinois Technology Association (ITA) is a driving force behind the growth of Illinois vibranttechnology industry.ITA’s agenda is simple – grow technology companies by fostering deep collaboration among the diverseindustry all in support of developing the ecosystem necessary to foster the success of membercompanies. All the while, tirelessly advocating for the industry to raise the awareness of Illinois as aleading technology community.Members of ITA benefit from unlimited access to strategic development programs, services, resourcesand events that support all members of their team. ITA leverages peer-to-peer collaboration and one-on-one mentoring with leaders from the technology industry to drive companies forward. In addition, ITA’seducation, events, networking, access to facilities at TechNexus and much more are all focused ongrowing members businesses.Simply put, collaboration is working together. And we all know two heads are better than one! ITAprograms and events bring together a network of experts and peers to address the latest evolutions in theindustry.http://www.technexus.org/Developed in partnership with the Illinois Technology Association (ITA),TechNexus is a 22K sq ft clubhouse for the Illinois technology community that is part incubator, partconference and training center and part co-working space. Located in the Loop across from the Willis(Sears) Tower, over 2000 individuals come through the TechNexus each month in one capacity or another.TechNexus is the physical embodiment of the Illinois technology community. ITA members can drop inand use the space for co-working or hotdesks at no charge and can rent the office and conference spaceat discounted rates.”Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 26
    • Wisconsin Technology Council, Madison, WI www.wisconsintechnologycouncil.orgThe Wisconsin Technology Council is the science and technology advisor to the Governor and theLegislature. Launched in 2001, the Tech Council was created by a bipartisan act of the governor and theLegislature. It is an independent, non-profit and non-partisan board with members from tech companies,venture capital firms, all levels of education, research institutions, government and law.The Tech Council has three main functions:1) It provides policy guidance to lawmakers, the governor, state agencies and other institutions inWisconsin. It has most notably done so through “Vision 2020: A Model Wisconsin Economy” and whitepapers that have served as background for policymakers.2) It serves an important in-state networking role through Wisconsin Innovation Network (WIN), acommunity-based organization dedicated to fostering innovation and entrepreneurship. It also workswith other statewide and local affiliates. And it provides out-of-state networking through its "I-QCorridor" activities and other events.The Wisconsin Innovation Network (WIN) is The Tech Councils membership subsidiary - a community-based economic development organization dedicated to fostering innovation and entrepreneurship. Inassociation with the Tech Council, WIN programs focus on the needs and challenges faced by new andgrowing technology-based businesses in Wisconsin.WIN is the Wisconsin Innovation Network, the membership subsidiary for the Wisconsin TechnologyCouncil. There are WIN chapters in Chippewa Valley, Lake Superior Region-Ashland, Madison,Milwaukee, Northeast Wisconsin and Central Wisconsin. WIN exists to serve as an educational andnetworking resource for entrepreneurs and people who work for high-growth firms, large and small. Itcan provide one more link the global economy, which is where Wisconsin must compete in order tothrive in the 21st century. Wisconsin will not get ahead by competing with the Twin Cities or Chicago – itwill get ahead by producing globally competitive goods and services, and by working as part of a largerregion.”Tech South East, Moncton, NB www.techsoutheast.caTech South East is an enabling organization working with the ICT and health and life science sectors toaccelerate the growth of innovation-based entrepreneurship and economic development in South EastNew Brunswick.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 27
    • “Tech South East is an innovation intermediary focused on South East New Brunswick’s technology andhealth science sectors with the goal of aligning companies, assets and resources to work together onadvancement and growth. As a catalyst and facilitator, Tech South East brings together industry,government, academia and the financial community to develop and implement the region’s innovationacceleration strategy. In working with its partners, TSE is the leading advocate for the needs, interestsand opportunities of the stakeholders in the region’s innovation system.”Strategic PartnersAt the heart of successful innovation systems and cluster initiatives around the world are the business,institutional and public sector leaders who understand the importance of harnessing their strengths andenergies toward the realization of a common vision. Collaboration and cooperation were central to thedevelopment of Tech South East and are the key drivers in our efforts to accelerate the growth ofinnovation-based entrepreneurship and economic development in South Eastern New Brunswick.Together we create a network of support and services for our technology and health sciencesentrepreneurs and develop better ways to drive the growth of tomorrow’s business leaders.Initial efforts to foster accelerated Technology-Based Economic Growth and Entrepreneurship in GreaterMoncton go back to December 2006 with the release of a strategy developed in partnership with the IC2Institute of the University of Texas at Austin. Two identified keys to success were: A common vision andaction plan to mobilize key local partnerships and collaboration and cooperation among GreaterMoncton’s business, academic and government sectors.In March of 2007, a mission team traveled to Oulu, Finland; a city that has “… experienced exceptionallystrong technological transformation over the past thirty years from large-scale industries that usenatural resources to knowledge-based industries.” It was recommended to be used as a benchmark cityand model for success for Moncton.“The team came away with the overwhelming impression that the power in the Oulu success story isattributable to the high degree of coordination and collaboration among the many players in the Ouluinnovation system.” This became an overarching objective in the Moncton strategy as stated in the IC2report: “…the importance of collaboration and cooperation among Greater Moncton business, academic and government sectors. The effectiveness of these partnering activities will largely determine the region’s ability to create high-value jobs, educate, attract, and retain talent, an to accelerate economic growth while sustaining a high quality of life for all citizens.”11. “Accelerating technology-based economic growth and entrepreneurship in Greater Moncton” Moncton Technology Planning Group – June 2007Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 28
    • Washington Tech. Industry Assn., Seattle, WA www.washingtontechnology.org“Washington Technology Industry Association is the largest state-wide association of technologycompanies and executives in the world. With more than 1,100 member companies representingmore than 125,000 technology sector employees in Washington State, Washington TechnologyIndustry Association is a catalyst for setting new industry directions, sharing expertise, fosteringcollaboration, delivering key business services, and advancing the economic value and globalimpact of technology companies doing business in Washington.By joining Washington Technology Industry Association, members are connected with a powerfulgroup of technologyhttp://www.washingtontechnology.org/documents/PSBJ_WA_Best_Workplaces.pdfcompaniesand leaders from around the state. Through face-to-face events and online communities,Washington Technology Industry Association creates an environment that enables you toeffectively network with peers, exchange best practices, gain new business insights and achieveprofessional goals.Washington Technology Industry Association is a technology trade association that represents industry-leading technology companies and leaders who share a singular mission: to help Washington statetechnology innovators succeed. Members recognize that a vibrant technology industry in Washington iscritical to the economic success of our entire region.As a statewide association, the Washington Technology Industry Association is dedicated topromoting technology leadership and growth throughout Washington. The WTIA supportsregional communities that contribute to the economic growth and vitality of technology centersacross the state.WTIA Regional Communities are either volunteer driven or an affiliated organization that commit toorganizing events of interest to the local technology and business community. Regional Communitiespromote WTIA’s business services, can tap into WTIA’s advocacy agenda and help grow membership inits geographic area. • Northwest Regional Community • Olympic Regional Community • Southeast Regional Community • Inland NW Regional Community”The Puget Sound area has a reputation for housing recognizable high-tech companies like Boeing,Microsoft, McCaw Cellular, Aldus and Amazon to name a few. In 2007, research on the part of a VirginiaTech project that examines the emergence of high-tech regions, and data collected through an onlinesurvey of technology firms, resulted in WTIA creating a poster titled “Puget Sound Tech Universe, Avisual history of the technology industry”. In it can be see a graphical representation of the genealogy of711 firms and institutions in the Puget Sound region. In addition to the major companies and their spin-offs, the University of Washington (1861), is prominent in its contribution to the creation of newcompanies.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 29
    • A Visual History of the Technology Industry in Puget SoundIdaho Technology Council, Boise, ID www.idahotechcouncil.org“The Idaho Technology Council exists to connect, inform and promote the technology companies in Idahoand is dedicated to foster the growth of technology companies in the state, primarily in the areas ofinformation technology, agriscience, and energy.The ITC provides a valuable forum for industry, research, educators, investors, and governmentthroughout the state. The ITC advocates for creating a strong, innovative technology ecosystem and ahigh quality, high paid workforce.IDAHO INNOVATION ECOSYSTEMProvide a valuable networking resource for industry executives, potential partners, academic leaders,investors, government and customers. The Idaho Technology Council will focus on developing the IdahoInnovation Ecosystem including: 1. Industry 2. Capital 3. Talented workforce 4. Research 5. Technology Commercialization 6. GovernmentJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 30
    • Technology Association of Georgia (TAG), Atlanta, GA www.tagonline.orgTAG educates, promotes, and unites Georgia’s technology community to foster an innovative andconnected marketplace that stimulates and enhances a tech-based economy.“When we first started out, TAG was focused on connecting the technology community in Georgia. We’vegrown up and, with more than 13,000 members and growing, we have expanded our focus to also includeeducational programming, government relations and general promotion of Georgia as a top state fortechnology.”TAG enhances Georgia’s technology ecosystem by supporting technology companies at all stages ofgrowth, from concept to maturity, but it is particularly proud of its efforts to support and bring togetherthe entrepreneurial community.Concept: We support entrepreneurial initiatives through programs like the GRA/TAG Business LaunchCompetition, Venture Atlanta Conference and through work with our partners like Georgia Tech and theAtlanta Technology Development Center (ATDC) to ensure that early stage companies have the access toinformation, people and venture capital they need to get off the ground. • GRA/TAG Business Launch Competition: Since it was founded in 2006, the GRA/TAG Business Launch Competition has become one of largest competitions of its kind in the United States, providing $450,000 in cash and over $1,000,000 in donated services, and has helped more than 130 young entrepreneurs connect with successful entrepreneurs and investors in mentoring relationships.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 31
    • • Venture Atlanta: Venture Atlanta, Georgia’s technology innovation event, is where Georgia’s top technology innovators meet the country’s top-tier investors. As the state’s largest investor showcase, Venture Atlanta connects Georgia’s entrepreneurs with venture capitalists, bankers, angel investors and others who can help them raise the capital they need to grow their businesses. The annual non-profit event is a collaboration of three leading Georgia business organizations: Atlanta CEO Council, Metro Atlanta Chamber and the Technology Association of Georgia (TAG). • Community and Government Involvement: TAG has also been instrumental in helping lead the charge for a number of initiatives geared towards raising awareness and building community and government support for the entrepreneurial community. Those initiatives include helping bring Startup America (an Obama administration program focused on improving the business environment for entrepreneurs) to Atlanta, helping the community build a calendar of resources and events for entrepreneurs and driving a legislative agenda that includes incentives like an angel tax credit.Growth: We help companies continue to blossom through our Economic Gardening program. Bysupporting second-stage companies, we help them take the steps necessary to reach full maturity which,in turn, supports the development of our state’s economy. Through the Economic Gardening program,TAG and its partners provide growing companies with resources like market research and connectionswith the people, businesses and organizations that can take them to the next level.Maturity: We support the continued success of established businesses and corporations by helping themconnect with talent, potential customers and other companies that can support or even eventuallybecome a part of the larger companies. • Where Georgia Leads: Part of our mission is to promote Georgia’s technology prowess. TAG is embarking on a program to educate Georgians and technology stakeholders, aficionados and media nationwide about the innovation, companies and talent clustered in our state. • Senate Resolution 68: Among the legislative issues we drive and support is a resolution to create a commission to help develop a strategic plan for science and technology in Georgia. This is the first of its kind for the state and we believe having a plan will support even more growth for Georgia in technology. • Industry Events and Awards: TAG also works to promote our technology industry to outsiders to help attract new companies and talent to Georgia and further enhance our state’s ecosystem. TAG promotions include the annual Georgia Technology Summit, the Georgia Technology Hall of Fame (in partnership with PriceWaterhouseCoopers), the TAG Top 40 Innovative company awards and a host of other events recognize and honor those who are contributing to the growth of Georgia’s technology footprint.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 32
    • The following graphic represents the evolution of TAG.About The Technology Association of Georgia (TAG)TAG is a leading technology industry association dedicated to the promotion and economic advancementof the states technology industry. TAG provides leadership in driving initiatives in the areas of policy andeducation and brings the technology community together through events, initiative programs andnetworking opportunities. TAG serves as an umbrella organization for 30 special interest groups, orsocieties, including Women in Technology (WIT). Additionally, TAG’s charitable arm, the TAG EducationCollaborative, is focused on helping science, technology, engineering and math (STEM) educationinitiatives thrive. For more information visit the TAG website at www.tagonline.org or TAG’s communitywebsite at www.TAGthink.com.Mass Technology Leadership Council, Burlington, MA www.masstlc.orgMassachusetts and, in particular, Greater Boston and “route 128” has been at the forefront oftechnological innovation for decades and this leadership shows no sign of letting up. It is also an exampleof a true tech community that is defined by the companies, organizations and educational institutionsthat abound. What exists is a concentration of venture capitalists, universities like MIT, Public economicdevelopment agencies like The Mass. Technology Collaborative, companies like EMC, Boston Scientific,non-profits like MassChallenge, which runs the largest-ever global startup competition, and technology-focused organizations like The Mass Technology Leadership Council which fosters entrepreneurship andpromotes the success of companies that develop and deploy technology across industry sectors.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 33
    • The Mass Technology Leadership Council has put forth a dynamic vision for the future of Massachusettstechnology by calling for private and public sector influencers to creatively and effectively leverageMassachusetts’ unique assets. The 2020 Challenge is aimed at creating 100,000 new technology jobs, in-state, by the end of the decade.Recently, an optimistic note was sounded relative to results that point to a belief that progress could betwo or three times faster this year that the annual rate needed to achieve the goal. There is anexpectation from the Council that “…with the right level of commitment and focus from all our members,we can capture tremendous growth by riding a new wave of innovation in mobile, data analytics, robotics,digital media and other sectors.”“The Mass Technology Leadership Council conducts educational programs, hosts industry events,facilitates networking, sponsors research, advocates in favor of technology policies that promoteinnovation, entrepreneurship and competition, and recognize industry-leading companies and people.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 34
    • IV. Developing a Model(s)/Template(s)A few organizations have, after successfully demonstrating the viability of establishing an innovationecosystem and producing desired results, reviewed their experiences and documented both bestpractices and processes for replicating the effort. This may be considered as a model for others to followor, perhaps it will end up as a framework, design or blueprint from which to build a new structure in aregion that will certainly have some unique characteristics and requirements. JumpStart, Inc. andCommunitech have both taken this step and information about what they’ve done and are doing.A. JumpStart, Inc., Cleveland, OH www.jumpstartinc.orgJumpStart, and the Northeast Ohio Ecosystem have been identified as success stories and are beingexamined as models and examples of best practices. The EDA has asked JumpStart to work with othercommunities in MN, IN, MI, and NY to explore how they might create action plans to promote innovationand entrepreneurship in their regions.As a result, JumpStart, Inc. launched JumpStart Community Advisors, a team that collaborates withcommunity and regional leaders interested in expanding and enhancing their region’s entrepreneurialcapacity. They engage with regions across the U.S. who desire to develop, fund and execute regionalentrepreneurial action plans that will lead to the creation of a high-performance entrepreneurialecosystem. Regions in: Minnesota, Indiana, Michigan, New York, OhioFrom JumpStart presentation – Nov 10, 2010 Mike Mozenter President, JumpStart Community AdvisorsJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 35
    • An article found in http://elmwood.wgrz.com/content/445000-federal-grant-awarded-regional-project-support-develop-new-high-tech-businesses provides one example of progress that is being made towardextending the program.“Congressman Brian Higgins (NY-27), Senator Charles Schumer, Senator Kirsten Gillibrand,Congresswoman Louise Slaughter (NY-28) and Congressman Chris Lee (NY-26) announced $445,000 for anew joint initiative covering nineteen counties in Western and Central New York to support new economybusiness development and job growth across the region. The funding awarded to the Erie CountyIndustrial Development Agency (ECIDA) and JumpStart Inc. through the U.S. Economic DevelopmentAdministration (EDA) will provide the resources for the New York counties to create a RegionalEntrepreneurship Action Plan (REAP) modeled after a successful program creating jobs and boostingeconomic growth in Northeast Ohio.”Some aspects of the Regional Entrepreneurship Action Plan (REAP) process are:• Plan and Develop: Form an advisory group of regional commercial and community leaders and build aRegional Entrepreneurship Action Plan (REAP)• Fund: Engage with local, regional, state and national organizations who desire to support theimplementation of the REAP• Implement: Work with the regional partners and collaborators to put in place the capabilities identifiedin the REAP.Partners’ Goals • Regional Collaboration • Measurable Results • Inclusion (minorities and women) • Accountability • Operational Excellence • Catalyst (Entrepreneurial Ecosystem)B. Communitech, Waterloo, ON www.communitech.caAs mentioned earlier, Communitech has assembled a handbook titled: “Building Better Ecosystems: ahandbook for tech cluster growth and success”.In the “Getting Started” section, five steps are listed which are necessary to “get the ball rolling”.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 36
    • Getting StartedA successful enabling organization is created by bringing a broad spectrum of network partnerstogether, figuring out where your strong suits are and where you have weaknesses, assuming aleadership role in the enabling process, tirelessly working with your network partners, and finally,defining a program suite that best meets the needs of the tech companies you represent.STEP 1: Asset Inventory Assess the offering of every player in your universe: • Partners • Technology capability of small/medium/large firms • Other enabling organizations • CompaniesSTEP 2: Missing Elements Take note of what you need, and be creative about getting it: • Money • Talent • Space • Strategic business acumen • VoiceSTEP 3: Leadership Step into the void. • Waiting for the stars to align doesn’t help grow companies; action does!STEP 4: Engagement Collaborate. • Find a way to get everybody on the bus – procedurally, structurally and culturally. • Focus on win-wins, common enemies, and one team.STEP 5: Build A sustainable tech cluster requires a strong enabling organization. • Build you program, your profile and your team.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 37 13
    • In the “What it takes to build the Enabling Organization” section, five P’s provide an effective frameworkfor building a strong enabling organization:Five P’s • Place and profile • Programs • Partners • Pennies and People • Proof 1. Place and Profile Where you’re from gives weight to your activities. If you’re in tech, a Silicon Valley street address provides instant credibility. If you’re in finance, it’s a New York City address. If you’re in entertainment, it’s a Hollywood address. But you’re from Milton, Ontario; or Saskatoon, Saskatchewan, or Jacksonville, Mississippi. The companies you represent are up against bigger players from well-known places. What can you do as an enabling organization for the tech cluster in your region? Employ effective strategies to give your companies a street address that matters via: • Global Promotion • Local Promotion • Real Estate 2. Programs Beginning and ending with strategic alignment, effective program development for the enabling organization includes the right line card for each level of enterprise, as executed through: • Events • Government Relations • Peer learning • Venture Support • Workforce Development • Youth Outreach • Export Support 3. Partners Your ecosystem partners – whether they are other enabling organizations, government, academia, financing players, knowledge creators, non-tech enterprises or technology entrepreneurs – all play a role in the potential for technology based economic development. The relationship between partners must therefore be clearly beneficial to both parties. Getting there requires a clear understanding of:Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 38
    • • Who your organization is, what you do and for whom • How that meshes with what a partner organization does • Where you both fit within the ecosystem 4. Pennies and People To be able to help tech businesses grow, you need to run your enabling organization as a business. That means having the right financial and human resources in place to be effective. Effective management of pennies and people relies on delivery across four key service platforms : 1. Talent 2. Business Development 3. Visibility 4. Government Relations 5. Proof The right measurement varies by region and by program area. The key is to set your bench marks, check in with stakeholders regularly, report back and look ahead. Start the process by taking stock of where you are today, and where you see yourself in the future. How does your enabling organization stack-up?Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 39
    • V. Observations /Best Practices/SummaryObservations: 1. The “Innovation Ecosystem” is alive and well in many regions throughout the U.S. and Canada, where Tech Councils currently operate. 2. Innovation Ecosystems seem to mostly function within a geographic region reaching a 25 mile radius of a hub city. 3. Many Tech Councils have already played a prominent role in both establishing the Innovation Ecosystem and acting as a Venture Development Organization; supplying entrepreneurs with needed services and access to resources. 4. Collectively, Tech Councils provide virtually every combination of services and access to resources which are required by innovative entrepreneurs. 5. Regions that have made the greatest strides toward having well-functioning Innovation Ecosystems, are well funded. 6. Innovation Ecosystems were initiated and grew because there was top-level support and visibility given to the project. 7. Innovation Ecosystems, that have established themselves, can point to one person, or a few people, who assumed leadership roles. 8. Thriving Innovation Ecosystems resulted from successfully getting disparate organizations to collaborate. 9. Although the Innovation Ecosystem identifies the organizations it comprises, the level of cooperation and collaboration between those organizations varies from region to region and typically reflects the degree of collaborative attitude in a region. 10. Documentation exists that reflects experience with creating Innovation Ecosystems along with associated best practices. 11. Most regions indicated that more could be done to reach out to entrepreneurs with information and directions on where resources reside within the region and how to access them.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 40
    • 12. The Innovation Ecosystem clearly describes the relationship between economic development oriented organizations supplying needed resources to entrepreneurs so they can make their companies grow and create the jobs and income that strengthens the economy. 13. Many Tech Councils have shifted from being trade organizations, providing services and networking opportunities to their members, to assuming an expanded role in overall economic development, while still focusing on the contributions from, and benefits to, the companies in the technology sectors that they represent.Best Practices: 1. Use a model or template as a starting point for creating an Innovation Ecosystem but retain flexibility to suit the needs of a particular region. 2. Identify the primary stakeholder organizations within a region that should form the core of the Innovation Ecosystem and act in a partnering and collaborative manner. 3. Solicit endorsement and involvement of top-level and visible individual to introduce and spearhead an initiative, and communicate focus, urgency and reliance on participating stakeholders to work-as-one to accomplish stated goals and objectives. 4. Undertake actions and activities that will maintain high visibility of the initiative, contributions of the partners, and progress made toward achieving goals and objectives. 5. Map the existing assets and resources available in the regions and identify major gaps. 6. Establish clear, achievable, measurable and agreed upon goals and objectives. 7. Seek funding opportunities from federal and state governments, and nationwide foundations but, at the same time, plan for becoming self-sustaining. 8. Continue to access the deep pool of information and experience that exists in other regions.Summary:In collecting and assembling information for this report, relating to the Impact of InnovationEcosystems on economic development, the author was reminded of the 50’s song “Two DifferentWorlds; We Live In Two Different Worlds”.It wasn’t too long ago that technology councils were primarily trade organizations that represented thebest interests of their members, and economic development organizations at federal, state, and locallevels were focused on creating environments conducive to promoting commerce and providingincentives to business and industry to locate in a particular place or take a particular course of action.Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 41
    • No longer can we afford to function in this way. Competition, from throughout the world, has had anunanticipated, and profound, effect on our domestic economy. The results for many citizens who havebeen negatively impacted are: incomes either lost or reduced, standard of living impaired, and futureopportunities made unclear. And; this does not appear to have only current consequences. Loss, orreduction, of income makes it difficult, if not impossible, to save for children’s education or forretirement which can translate into a greater burden on society in the future.So; in a certain respect, what we’re really talking about is competing more effectively in the globalmarketplace. In the past, our rivals took over manufacturing many of the products we consume, andtook advantage of technological advances to provide services to us. They accomplished this, for themost part, by capitalizing on lower cost human and physical resources and, in some cases,manipulating currency and creating trade barriers.Overcoming the advantages they possess, represents a formidable challenge which, as has been provenin the past, cannot be overcome by individual action. This is the time when people in a position tomake a difference have to come together and become part of something bigger.And, the people coming together must be the ones that recognize what is meant by being innovative inthe twenty-first century. In a world of extreme high-tech and science, the winners will be those whodiscover, create, and deliver the advanced products and services of tomorrow. Thus, the idea ofbringing together members of organizations focused on the technology community with those ineconomic development can produce a synergistic effect that will power our competitiveness andrestore our economic strength.As with most things, it’s a matter of will. It’s been shown in this report that Innovation Ecosystemsexist and are producing results. The next step is to expand on what’s already been accomplished byspreading the word, getting more players on board, deepening our understanding of what needs to bedone and how to do it and, most importantly, doing it.We’ll finish with the old sales adage: “There are no Problems, only Opportunities”.Seizing the opportunity and helping to bring our country back to a strong economic condition can befulfilling and rewarding. It offers an opportunity to leaders with foresight, courage, conviction andstamina to step up to the challenge and effect change. Did we just describe you?Jobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 42
    • VI. Thank you to TECNA members who participatedThe insight gained from conversations with CEOs and Partners was extremely helpful in structuring thisreport and selecting content that, hopefully, will add value to the ongoing discussion. Overall, the level ofcooperation and sharing was excellent and all of you are to be commended for your contributions.Tom Anderson Automation Alley, Inc. Troy MIMaxine Ballen New Jersey Technology Council (NJTC) Mt. Laurel NJGreg Brand Vermont Software Developers Alliance Burlington VTMatt Cookson New Hampshire High-Technology Council Manchester NHCory Donovan NewVa Corridor Technology Council (NCTC) Blacksburg VATim Early Technology Hampton Roads (HRTC) Hampton VATod Fetherling Nashville Technology Council Nashville TNTed Ford TechColumbus Columbus OHCatrina Gruver-Luedtke Technology Council of Southern California Torrance CARachel Hack Software and Infor Tech Assn. of Kansas Lenexa KSSu Hawk Colorado Software & Internet Assn. (CSIA) Denver COFred Hoch Illinois Technology Association (ITA) Chicago ILTom Hopcroft Mass Technology Leadership Council Burlington MALeann Jacobson Technology Association of Iowa (TAI) Des Moines IAJim Jay TechPoint Indianapolis INIain Klugman Communitech Technology Association Waterloo ONMark Lewis Louisiana Technology Council (LTC) New Orleans LAKeanin Loomis Innovation Factory Hamilton ONTino Mantella Technology Association of Georgia (TAG) Atlanta GADean Miller PACT (Gr. Phila Alliance for Capital & Tech) Philadelphia PADonn Morrill New York Technology Council New York NYMike Mozenter JumpStart Community Advisors Cleveland OHBrad Nellis NE Ohio Software Association (NEOSA) Cleveland OHMatthew Nemerson Connecticut Technology Council (CTC) East Hartford CTAmy Norman Tampa Bay Technology Forum (TBTF) Tampa FLCindy Pearson BC Technology Industry Association (BCTIA) Vancouver BCRobert Philips Chattanooga Technology Council Chattanooga TNBrooks Raiford North Carolina Technology Assn. (NCTA) Raleigh NCEric Renz-Whitmore NM Info Tech & Software Assn. (NMITSA) Albuquerque NMDoug Robertson Tech South East Moncton NBAudrey Russo Pittsburgh Technology Council (PTC) Pittsburgh PASusan Sigl Washington TechIndustry Association (WTIA) Seattle WAMark Skinner State Science & Technology Institute (SSTI) Columbus OHBill Sproull Metroplex Tech Business Council (MTBC) Richardson TXTom Still Wisconsin Technology Council Madison WIKris Valerio Chesapeake Regional Tech Council Annapolis MDTom Walker i2E Oklahoma City OKJoe Wiggins Enterprise Center of Johnson County Lenexa KSPerry Wood Technology Council of NW Pennslyvania Erie PAKim Zentz SIRTI Spokane WASteve Zylstra Arizona Technology Council (ATC) Phoenix AZJobs and Innovation Ecosystems – Implementation within TECNA Regions – June 1, 2011 © TECNA 2011 43