Technology Transfer Unit In Universities as a Venue for Partnership With The Private Sector.

ANALISIS.

By Aboubakar YARI and Venus YARI

For the Biotech tropicana Systems.

The Biotech tropicana Systems are a private Biotech company that in addition to exploratory (R&D) activities applies output of basic research conducted in Universities and published in peer review scientific journal to innovate biotechnologies. Many Universities in developed countries also applied output of their basic research activities to innovate technologies. However, these universities do not take their innovations to the market. Large university systems such as the United States Harvard University, The Massachusset Institute of technology,  and Stanford University operate technology transfer units to transfer their innovations to the private sector through for example start ups. The University will acquire funds for research through the technology transfer process. Some start ups when successful on the market may voluntary choose to donate to the University toward further research activities. Therefore the private sector is another source of research funds for NOT FOR PROFIT universities; an illustration of public-private partnership that is productive for both parties. As discussed by Juma et al; In Freedom to Innovate, basic research is not developed in many universities of the developing world. These universities are under funded by the public sector to conduct basic research in accordance with international standards. Juma et al; recommended for these Universities to engage in extra university development activities in collaboration with both the public and the private sector. As knowledge driven institutions, universities can apply their knowledge in extra university activities to generate funds while at the same contributing to the development of their country. Knowledge input from universities can improve the competitiveness of local firms on the global market and thereby increase sale revenues for these firms and tax revenues for governments. In return a richer government can increase funding of basic research for universities. The knowledge stored in universities in developing countries is therefore an unused wealth that can be applied to contribute to breaking poverty circles in which many developing countries are trapped. See Sachs et al; In Investing In Development.

Poverty Circle:

Because the government does not collect sufficient tax to balance its budget that government cannot afford to invest in long term university research activities. Because the university is underfunded by government, the university cannot engage in new knowledge generating research activities to address the country’ s development challenges. Because the country specific knowledge are not generated by the university the local firms cannot innovate tools that are relevant to local market, thereby diminishing the market share of the country’s private sector. Because the sales of the private sector are low it cannot pay sufficient taxes to the government to balance its budget. This situation creates a circle of poverty in which all parties become dependent on foreign funds to operate. Non national can speculate on that situation to use aid as a mean of control of the poor country. In these situations many developing countries will sell their high value natural resources at low cost to buy low value finished products at high cost to further consolidate the poverty circle in long terms. Trapped in this poverty circle these countries can never emerge toward a sustainable development.

A knowledge driven economy to break the poverty circle:

 High quality human resources acquired through education becomes an imperative path for the countries trapped in poverty circles to free themselves from a chronic dependency on foreign aid. We therefore agree with Juma et al; that science, technology, and innovation should be placed at the centre of development strategies of these countries. Investing in universities and creating capacity for technology innovation and development is therefore a good starting point for poor countries strategies to beak the poverty circle. Investing in universities to generate country specific new knowledge will increase competitiveness of local firms for the local market. The sale share of local firms will increase. Increased sales and subsequent increased revenues will translate into higher savings to invest in product specific private research to become more competitive on the global market and further increase their revenues. With increased revenues the private sector can pay sufficient tax to the government to balance its budget. A richer government can increase its funding of term research activities to address the country’s development challenges and generate ore knew knowledge for the private sector to innovate more competitive tools, thereby breaking the poverty circle and unleashing a development dynamic toward self sustainability. It is obvious that breaking the poverty circle will require a sustained collaboration between the public sector, the private sector and academics. Weakness of one the three sectors will trap the all system in a sustained long term poverty circle. Such a country becomes obligatory dependent on foreign resources.

Conclusion:

For more than 50 years many countries in sub Saharan Africa failed to balance the three factors equation, public-private-academics in short and long terms to break the poverty circle and unleash development. Taking into account all the funds due to us and acquired applying knowledge capacity that was acquired through investment in education, the Biotech tropicana Systems balance the three factors equation jn 15 years and achieve self sustainability. The Asian tigers did the same in 25 years.

References:

[1] Juma et al; In Freedom to Innovate

[2] Sachs et al; In Investing In Development.