Growing Regional Innovation-Based Economies: The KansasOpportunity InnovationNetwork   NADO Annual Training Conference    ...
Innovation is a Contact Sport        http://www.canoeicf.com/icf/Aboutoursport/Canoe-Polo/More-on-Canoe-Polo/Introduction-...
How can rural America compete?Public Domain
The Rural Economic Development Portfolio
How can rural America compete?Public Domain           http://minimediaguy.org/2007/02/21/the-amish-approach-to-new-media/
Driving Economic Objective• Enhance the global competitiveness of rural  technology-based businesses
KOIN Objective• Generate the core benefits of industry clusters in  areas where critical innovation resources are sparse.
KOIN Strategy• Create proactive, open collaboration networks, that  generate competitive advantage through:  • Facilitatin...
Discussion Outline• Deep Collaboration Between an Economic  Development District and a University Center:  • Merging of Co...
A migration to a complementaryrelationship    AMI                          Tech                          Development      ...
AMI: Who We Are…• Mission: to advance technologies, people, and  companies through collaborative engineering and  business...
Who Uses AMI Services? AMI has completed more than 2,500 projects nationwide with more than 500 different companies in the...
AMI is an Early Stage TechnologyDevelopment agent for researchers,entrepreneurs, and existing businesses.                 ...
AMI Core Competencies                       Custom    Product         Equipment and    Advanced      Bioprocessing/ Develo...
AMI’s Professional Consulting Staff• 13 full-time experienced  technical/business  professionals   • 9 engineers: Mechanic...
The AMI Internship Experience – A Hands-onProgram• Since 1995 more than 450  students have interned at  AMI• Modeled after...
AMI TBED Goal: Increase Impact                        Community:                           Regional                       ...
The Relationship Enabler: The EDA U/C Program       UC 1           UC 2            UC 32005               2008            ...
UC1: Bridging the Gap Between NewTechnologies and Commercialization              • Develop new productsESTD Agent         ...
Integrated Business and TechnologyDevelopment Services
Kansas                                         Livestock                                        Foundation                ...
Questions AMI Asked at the end of UC1:• How can AMI:  • help more Kansas companies systematically connect to and    accele...
UC2: Accelerating Innovation throughCollaborative Partnerships and Networks       UC 1          UC 2          UC 32005    ...
On a similar butparallel path in NorthCentral Kansas…Initial Stage Motivation
Population vs. Critical Mass
Total Population in Region Riley Saline Geary Lyon Pottawatomie Dickinson Ellsworth Wabaunsee Ottawa Clay Cloud Morris Mit...
Issues Facing Rural Locations                                 Ideas                                                     Bu...
Strategic Thinking        How do                        What are        we do it?                       our               ...
NCK RBDTC RegionHome Location of IndividualsEmployed by Businesses in NCK Region
NCRPC 2005 CEDS UC Integration
Initial Regional Pilot Project Origins Questions / Requests posed of AMI   • What business clusters are operating in NCK? ...
Motivation• “Cooperation … comes when it is in the best  interests of all those involved.”“Collaborating is ultimately abo...
Underlying Assumptions…Basis of IBED Strategy                   Driving Questions   Innovation enables sustaining      Ho...
North Central KansasRegional Industry ClusterAnalysis and InnovationNetworking Project(A Core Component of AMI’s UC2 Grant)
Rural Development is a Wicked Problem                                                                                     ...
What is a region?        Eco Dev Community          Nation         5%  Multiple States        5%           State      0% M...
County-Centric View of Kansas
Banks(Showing banks with HQ in KS)
What is a region?        Eco Dev Community                          Banks                     Business                    ...
Regional Analysis - Interdependencies• Workflow  – Shows    where    people in    the region    work    through the    world
LQ Bursts as a Measure of Region Clusters
Landscape Perspective                        Single Business          Employees
Regional Analysis – Where to Start?• Focus on traded  industries• What do we:   • Preserve ?   • Extend ?   • Combine ?• A...
What does Kansas look like?
What strengths are there in KS?The mean or the sum?
What does this mean?• Every region is unique• Every region has similarities• Uniqueness and similarities both create  oppo...
Access to Business Detail
Mapping Potential IndustryMapping Social Connections                                   Connections
Building Connectedness to Business Opportunities  Based on input from our partners and clients, a viable  “connectedness” ...
KARDO• Kansas Association of Regional Development  Organizations• Founded in 2008• Founding members  • Economic developmen...
UC3: Kansas Opportunity Innovation Network :Rethinking What Critical Mass Means       UC 1           UC 2            UC 32...
• Leverage AMI’s integrated                                                    technology/business                        ...
KOIN spans Economic Development Strategies               •   Spur new businessIntermediary Innovation               •   Im...
The Rural Economic Development Portfolio
The Networked Ecosystem Approach              • Relationship Focused              • Generates benefits of clusters        ...
KOIN Services/Tools Under Development•   Planning Assistance•   Mapping & Analysis Service and Tools•   Asset Mapping Tool...
Business Profiling/Supply      KTEC Technology         Business Profiling and                         Chain Network Develo...
Innovation ProfilesAiming for adiverse ecosystem                                                                          ...
Connecting Through Competencies Business Profiles/Clusters not Based on Final Product/Service                Technical    ...
Connectedness - Mapping Industry ConnectionsUsing SNA Methods
Network Weaving: Knitting Connectedness• Most networks are  fragmented unless  deliberately  developed• Thicker networks h...
AMI Wind Industry                                                          Manufacturing Supply                           ...
Wind Farm C&L Supply Chain DevelopmentGoal: Increase local labor content of regional      wind farm construction projects ...
The KLP’s OpportunityDevelopment Network• Leverages regional assets    • Natural/man-made    • Public/private• Targeted bu...
The KLP Team Secures Second Wind Company• A proven rural development regional approach• County population: 33,700 (Harvey)...
South Central Kansas Rural Innovation Accelerator    Rural Business Enterprise GrantGoal: Grow a renewing stream of next g...
Great Plains   Industrial Park    Development• Collaboratively develop a three  year strategic marketing plan• Virtually e...
KOIN’s Objective:Overcome Critical Mass Challengeswith Critical Connection Strategies
Level the Playing Field                                                    http://blog.voucherme.my/category/funny-stuff/B...
John R. Cyr, Executive Director                                  Kansas Association of Regional                           ...
Cyr krameratc2011
Cyr krameratc2011
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Cyr krameratc2011

  1. 1. Growing Regional Innovation-Based Economies: The KansasOpportunity InnovationNetwork NADO Annual Training Conference October 8, 2011
  2. 2. Innovation is a Contact Sport http://www.canoeicf.com/icf/Aboutoursport/Canoe-Polo/More-on-Canoe-Polo/Introduction-Continued.html
  3. 3. How can rural America compete?Public Domain
  4. 4. The Rural Economic Development Portfolio
  5. 5. How can rural America compete?Public Domain http://minimediaguy.org/2007/02/21/the-amish-approach-to-new-media/
  6. 6. Driving Economic Objective• Enhance the global competitiveness of rural technology-based businesses
  7. 7. KOIN Objective• Generate the core benefits of industry clusters in areas where critical innovation resources are sparse.
  8. 8. KOIN Strategy• Create proactive, open collaboration networks, that generate competitive advantage through: • Facilitating connections that drive successful partnerships • Identifying and exploiting opportunities
  9. 9. Discussion Outline• Deep Collaboration Between an Economic Development District and a University Center: • Merging of Competencies and Perspectives • A Pilot Endeavor • KOIN: Adding to the Rural Development Economic Development Portfolio
  10. 10. A migration to a complementaryrelationship AMI Tech Development Innovation-based Regional ED Regional NCRPC Development
  11. 11. AMI: Who We Are…• Mission: to advance technologies, people, and companies through collaborative engineering and business partnerships.• Clients: Startups, small companies, large corporations, and community partners
  12. 12. Who Uses AMI Services? AMI has completed more than 2,500 projects nationwide with more than 500 different companies in the last 15 years.
  13. 13. AMI is an Early Stage TechnologyDevelopment agent for researchers,entrepreneurs, and existing businesses. Technology Product & Process Research Development Development Commercialization Innovation: Successful Market Entry ESTD Initial (Early Stage Technology Development) Product and Basic Concept/ Process Market Research Invention Development Entry Invention: Protectable Promising Idea AMI Focus
  14. 14. AMI Core Competencies Custom Product Equipment and Advanced Bioprocessing/ Development & Process Design ChemicalCommercialization Development Verification Engineering
  15. 15. AMI’s Professional Consulting Staff• 13 full-time experienced technical/business professionals • 9 engineers: Mechanical, Chemical, and Industrial • 1 Product designer • 1 Product development specialist • 1 Commercialization/business planning professional • 1 Economic analyst
  16. 16. The AMI Internship Experience – A Hands-onProgram• Since 1995 more than 450 students have interned at AMI• Modeled after the proven “teaching hospital” mentoring approach• Students have been from all the manufacturing-related engineering disciplines and school of business• Experience focus is on developing: • Technical skills • Business perspective • Communications skills • Professionalism
  17. 17. AMI TBED Goal: Increase Impact Community: Regional Innovation/ Collaboration Company: Strategic Competitive Advantage Project: Product, Process, Technology Development Development Technology Industry Process Expertise Expertise Expertise
  18. 18. The Relationship Enabler: The EDA U/C Program UC 1 UC 2 UC 32005 2008 2011
  19. 19. UC1: Bridging the Gap Between NewTechnologies and Commercialization • Develop new productsESTD Agent • Develop new processes and technologies Market Need • Develop the means to bring products to market more rapidly • Develop the means to produce products Technological Feasibility Business Viability more efficiently. Technology Product & Process Research Development Development Commercialization
  20. 20. Integrated Business and TechnologyDevelopment Services
  21. 21. Kansas Livestock Foundation TEXASAMI Phosphorus Recovery AMANA FARMSTechnology Development TCFA
  22. 22. Questions AMI Asked at the end of UC1:• How can AMI: • help more Kansas companies systematically connect to and accelerate top-line growth opportunities? • help companies connect to required elements for growth regardless of location? • Source of Ideas/Technologies • Capital • Infrastructure • Expertise • Workforce • facilitate greater connectedness of Kansas companies to identify and pursue new growth opportunities? • impact more than one company at a time?
  23. 23. UC2: Accelerating Innovation throughCollaborative Partnerships and Networks UC 1 UC 2 UC 32005 2008 2011
  24. 24. On a similar butparallel path in NorthCentral Kansas…Initial Stage Motivation
  25. 25. Population vs. Critical Mass
  26. 26. Total Population in Region Riley Saline Geary Lyon Pottawatomie Dickinson Ellsworth Wabaunsee Ottawa Clay Cloud Morris Mitchell Marshall Chase Lincoln Republic Washington Jewell 1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010
  27. 27. Issues Facing Rural Locations Ideas Business Finance Business / Services Community Needs Infrastructure Workforce
  28. 28. Strategic Thinking How do What are we do it? our goals? Governance Responsibility Generative Who are we?
  29. 29. NCK RBDTC RegionHome Location of IndividualsEmployed by Businesses in NCK Region
  30. 30. NCRPC 2005 CEDS UC Integration
  31. 31. Initial Regional Pilot Project Origins Questions / Requests posed of AMI • What business clusters are operating in NCK? • Which business sectors are growing and which business sectors are fading? • What linkages exist between the various business sectors present? • Is there a way to illustrate the data in map form that makes it easier for local leadership to better understand the regional economy?
  32. 32. Motivation• “Cooperation … comes when it is in the best interests of all those involved.”“Collaborating is ultimately about relationships, and relationships do not thrive based on a rational calculus of costs and benefits but rather because of genuine caring and mutual vulnerability.” Peter Senge, The Necessary Revolution
  33. 33. Underlying Assumptions…Basis of IBED Strategy Driving Questions Innovation enables sustaining How can we best assist Kansas global competitiveness. companies to increase innovation capacity? There are key elements required What can we do to level the playing for successful tech ventures. field for tech ventures? Technology-based companies How can we best help rural should not be location limited. communities to grow tech-based businesses? “Blue ocean” opportunities exist How can we bring resources where boundaries are spanned. together to exploit “blue ocean” opportunities ? Successful entrepreneurs are not How can we facilitate greater necessarily smarter…just better connectedness to new growth connected. opportunities?
  34. 34. North Central KansasRegional Industry ClusterAnalysis and InnovationNetworking Project(A Core Component of AMI’s UC2 Grant)
  35. 35. Rural Development is a Wicked Problem Linear Method• Don’t understand the Designer/subject 1 problem until have Designer/subject 2 developed a solution Problem Gather Data• Have no stopping rule Analyze Data• Solutions not right-or-wrong, but better-or-worse• Can’t learn about the Formulate Solution problem without trying solutions –likely to spawn Implement Solution new problems Solution Time• Unique and novel• Symptom not the problem• Social complexity – people!
  36. 36. What is a region? Eco Dev Community Nation 5% Multiple States 5% State 0% Multi-city across… 5% Multi-city within… 5%Multiple Counties 20% County Limits 50% City Limits 10% 0% 20% 40% 60%
  37. 37. County-Centric View of Kansas
  38. 38. Banks(Showing banks with HQ in KS)
  39. 39. What is a region? Eco Dev Community Banks Business Community Nation 5% 23% 0% Multiple States 5% 14% 24% State 0% 9% 12% Multi-city across… 5% 14% 14% Multi-city within… 5% 5% 1%Multiple Counties 20% 59% 23% County Limits 50% 0% 3% City Limits 10% 0% 0% 0% 20% 40% 60% 0% 50% 100% 0% 20% 40%
  40. 40. Regional Analysis - Interdependencies• Workflow – Shows where people in the region work through the world
  41. 41. LQ Bursts as a Measure of Region Clusters
  42. 42. Landscape Perspective Single Business Employees
  43. 43. Regional Analysis – Where to Start?• Focus on traded industries• What do we: • Preserve ? • Extend ? • Combine ?• Assess innovation readiness• Need to redefine clusters in rural regions• Visualization can reshape the discussion AMI.NCRPC.ORG
  44. 44. What does Kansas look like?
  45. 45. What strengths are there in KS?The mean or the sum?
  46. 46. What does this mean?• Every region is unique• Every region has similarities• Uniqueness and similarities both create opportunities• Next question – How can we explore these opportunities and decide on the best opportunities to pursue• Answer – By understanding the region, the interdependences and innovation capabilities
  47. 47. Access to Business Detail
  48. 48. Mapping Potential IndustryMapping Social Connections Connections
  49. 49. Building Connectedness to Business Opportunities Based on input from our partners and clients, a viable “connectedness” solution must: • Weave peer to peer business development opportunity networks • Focus on clustering need and competencies, not just industries • Connect to global market development opportunities/infrastructure • Focus entrepreneurship on traded industries (wealth generators) • Level competitive playing field (urban, global) with hub and node approach vs. traditional clusters • Create “hard-to-copy” regional competitiveness • Attract/retain skilled people • Engage regional wealth and investment capital
  50. 50. KARDO• Kansas Association of Regional Development Organizations• Founded in 2008• Founding members • Economic development districts (7) • University centers (2)• Goals • Shared experience and talents • Cooperative and collaborative ventures
  51. 51. UC3: Kansas Opportunity Innovation Network :Rethinking What Critical Mass Means UC 1 UC 2 UC 32005 2008 2011
  52. 52. • Leverage AMI’s integrated technology/business development competencies • Profile innovation capabilities and needs of regions and local companies • Scout new global opportunitiesKOIN will create an environment • Actively weave networks ofthat transcends geographic technology providers, expertiseisolation, discovers new markets, and capitalinnovates openly and fosters • Span boundaries to build ”hard-global competitiveness to be at to-replicate” regional advantagethe intersection of great ideasand new opportunities. It is all about identifying and processing new business opportunities.
  53. 53. KOIN spans Economic Development Strategies • Spur new businessIntermediary Innovation • Improve business competitiveness Market Need • Vet opportunities • Foster open innovation • Develop and leverage networks Technological Feasibility Business Viability Start Organic Regional New Incubate Recruit Growth Innovation
  54. 54. The Rural Economic Development Portfolio
  55. 55. The Networked Ecosystem Approach • Relationship Focused • Generates benefits of clusters w/o the critical mass of clusters • Volume of opportunities • Density of expertise • Diversity of interactions • Proximity to markets • Challenges • Requires a strong and deep information network
  56. 56. KOIN Services/Tools Under Development• Planning Assistance• Mapping & Analysis Service and Tools• Asset Mapping Tools• Business and Innovation Profiling• Opportunity Scouting• Networking• Business Development Assistance
  57. 57. Business Profiling/Supply KTEC Technology Business Profiling and Chain Network Development Cluster Strategy Innovation Networking Partner: KDOC Development Partner: North Central Partner: KTEC Regional Planning CommissionRegional ProjectsEnable “Learning byDoing” ApproachRegional Asset Mapping Regional Manufacturing Wind Supply Chain ID and Kansas Army AmmunitionPartner: Great Plains Park/Incubator IBED Strategy Pre-profiling Assessment Plant BusinessDevelopment Inc. and Business Development Partner: South Central Redevelopment Partner: Harvey County Kansas Economic Partner: Great Plains Economic Development Development District Development Authority Council
  58. 58. Innovation ProfilesAiming for adiverse ecosystem Invena Corporation• There is no Technical 7 Inovation 6 7 one way to 6 5 4 iSi Environmental Services contribute to 4 3 3 2 Central Plains Steel Co. innovation 2 1 1 Miniature Plastic Molding LLC 0 0 0 CECO, Inc 1 1 2 3 Customer 4 Business 5 Centered Driven Design 7 Decisions
  59. 59. Connecting Through Competencies Business Profiles/Clusters not Based on Final Product/Service Technical Business User Capabilities Expertise Understanding Repeatable R & D Ready Access to Programmatic and/or highest markets and capital, system for gathering First Tier quality production capable of serving and using new user capabilities new markets information Capable of either Competent using Collects existing high production or standard business customer data to Second Tier high precision methods and serving occasionally production existing market improves offerings Struggles with Struggles with Assumes customer production, hangs on forecasting and Third Tier actions are random to outdated resource or unchanging technologies management
  60. 60. Connectedness - Mapping Industry ConnectionsUsing SNA Methods
  61. 61. Network Weaving: Knitting Connectedness• Most networks are fragmented unless deliberately developed• Thicker networks help us learn faster, spot opportunities faster, align resources faster, and act faster. They Scattered Fragments Hub and Spoke Network accelerate innovation.• Regional assets connected in new open innovation networks will expand opportunities Core Periphery Network Multi-Hub Small World Network
  62. 62. AMI Wind Industry Manufacturing Supply Chain Initiative Wind FarmSupply Chains Additional Company 14 County Region Pre-Assessment Project Full Profiles
  63. 63. Wind Farm C&L Supply Chain DevelopmentGoal: Increase local labor content of regional wind farm construction projects • Provide wind farm developers and contractors with qualified “local” suppliers • Proposed to adapt GLWN mfg. supply chain concepts to wind farm supply chain • Education • Capability profiling • Business development networking • Partnered with KS Dept. of Commerce to provide initial education workshop – Green jobs funding • Seeking funding to develop the balance of the wind farm supply chain services
  64. 64. The KLP’s OpportunityDevelopment Network• Leverages regional assets • Natural/man-made • Public/private• Targeted business development KS• Building global connections Logistics Park• Wrapped innovation/growth services• Team-based approach• Strategic partnering inside and outside region• Partners not geography limited
  65. 65. The KLP Team Secures Second Wind Company• A proven rural development regional approach• County population: 33,700 (Harvey)• Largest community: Newton – 17,000• Invested over $15M to develop park to date• Received EDA infrastructure investment• New Millennium: 350 jobs, $40M investment
  66. 66. South Central Kansas Rural Innovation Accelerator Rural Business Enterprise GrantGoal: Grow a renewing stream of next generation regional goods producers• Evaluates feasibility of manufacturing incubator serving nine rural counties• Identifies business and technology needs of small emerging mfgers• Support established manufacturers’ “skunk work” development projects• Develops plans to deliver sustainable incubation services• Assesses the region’s innovation readiness (ecosystem assessment)• Compliment’s region attraction/expansion efforts with top-line growth• Synergizes organization missions, regional assets, and investments
  67. 67. Great Plains Industrial Park Development• Collaboratively develop a three year strategic marketing plan• Virtually extend market research and business development functions of staff• Build networks to accelerate the search for opportunities• Build recruiting team to respond to prospect opportunities• Explore feasibility of non- traditional strategies to address park’s previous mission• Facilitate creative reuse thinking Kansas Army through visualizations Ammunition Plant - Parsons, KS
  68. 68. KOIN’s Objective:Overcome Critical Mass Challengeswith Critical Connection Strategies
  69. 69. Level the Playing Field http://blog.voucherme.my/category/funny-stuff/By spurring open To Increase Market Needinnovation, providing Competitiveness inaccess to innovation Technology-Basedresources, and finding Technological Feasibility Business Viability Businessesblue ocean opportunity
  70. 70. John R. Cyr, Executive Director Kansas Association of Regional Development Organizations (785) 738-2218 jcyr@nckcn.com Brad Kramer, Director Advanced Manufacturing Institute Kansas State University (785) 532-3722 bradleyk@ksu.eduPlease visit • www.gpdionline.com• www.innovatekansas.com • www.ncrpc.com• www.amisuccess.com• www.kansaslogisticspark.com • www.networkkansas.com• www.greatplainsindustrialpark.com • www.sckedd.com• www.ami.ncrpc.org • www.sekrpc.com

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