Promoting Technologybased entrepreneurship in Indian Academic Institutions

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Promoting Technology-based entrepreneurship in
Indian Academic Institutions

• Abhijit Bhattacharya
• Professor Director,
• Centre for Entrepreneurship
• University of Natal

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Major Role Players in techno-enterprise
development

• Department of Science and Technology (DST)
• National Science and Technology Entrepreneurship
  Development Board (NSTEDB)
• Science and Technology Parks
• Leading national research laboratories
• Entrepreneurship development institutes
• Entrepreneurship development cells in engineering
  collages and other technology institutions
• Technology Information Forecasting and Assessment
  Council (TIFAC)

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The National Science and Technology
Entrepreneurship Development Board

• NSTEDB was established by the Government of India
  in 1982 " as an institutional mechanism to
  promote gainful self-employment in the country
  and to link idle S T manpower with the
  under-utilised   institutional credit facilities
• The Board has representation from socio-economic
  and scientific Ministries and Departments
•    

Contd
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The National Science and Technology
Entrepreneurship Development Board

• The NSTEDB is trying to
• Promote and develop entrepreneurship through the
  use of   Science Technology
• Facilitate and conduct various informational
  services   relating to the entrepreneurship
  development using S T
• Network with agencies and voluntary organizations
  to promote self-employment in backward areas
  using ST.

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SCIENCE TECHNOLOGY ENTREPRENEURS PARK (STEP)

• STEPs have been established for
• Creating an environment of innovation and
  entrepreneurship
• Forging close linkage between universities,
  academic and RD institutions on the one hand and
  industry on the other
• Sharing ideas, knowledge, experience and
  facilities for the development of new
  technologies
• Opening up avenues for teachers, students,
  researchers, industrial managers to grow in an
  interdisciplinary culture and dependency on
  others inputs for starting a successful
  economic venture

Contd
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SCIENCE TECHNOLOGY ENTREPRENEURS PARK (STEP)

• Promoting entrepreneurship among Science and
  Technology persons, many of whom are otherwise
  seeking jobs soon after their graduation
• Providing RD support to the small-scale industry
  mostly through interaction with research
  institutions
• Promoting innovation based enterprises
• Facilitating transfer of technology to the end
  user

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Facilities and servicesprovided by STEPS

• Nursery sheds
• Testing and calibration
• Consultancy Training
• Precision tool room/central workshop
• Prototype development
• Business facilitation high speed data
  transmission
• Data Bank and documentation services
• Quality Assurance Services
• Technical Support Services
• Seminar Hall/Conference Room
• Common facilities such as phone, FAX, etc

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PROMOTERS OF STEPs

• Department of Science Technology
• Developmental financial institutions
• Concerned provincial governments
• Host institutions (universities, engineering
  colleges, etc)
• Commercial banks

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Role of the Host Institution  

• To achieve synergetic benefits and harness the
  knowledge and expertise available in academic and
  RD institutions, every STEP needs to be promoted
  around a host institution which could launch,
  sustain it and help its growth
• The host institution should aim at optimum usage
  of its facility by STEP
• Periodic assessment of the priorities must be
  undertaken based on  which re-allocation of
  resources might become necessary
• Each STEP must carve out a niche for itself with
  regard to the types of products to be developed
  based on the availability of facilities and
  expertise in the host institution and also the
  industrial climate of the region

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PROCEDURE FOR SUBMISSION OF PROJECT PROPOSALS 

• SWOT analysis for justifying the need for setting
  up a STEP
• Preliminary discussion to identify the thrust
  area(s) and other requirements. 
• Preparation of a bankable project report with the
  following details
• Brief background of the host institution
• Industrial milieu of the region
• Need for setting up a STEP
• Expertise and facilities available in the host
  institution
• Thrust areas for STEP
• Additional facilities to be created
• Other requirements such as staff, building and
  other facilities
• A PERT chart of activities/targets with time
  projection
• Capital cost of the project
• Likely sources of funding
• Recurring expenses for the first ten years
• Projected revenue earnings for the first ten
  years

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ENTREPRENEURSHIP DEVELOPMENT CELL (EDC)

• EDCs were evolved to institutionalise
  entrepreneurship in ST institutions and create
  an entrepreneurship culture in the host
  institution
• Organize Entrepreneurship  Development Programmes
  for the benefit of S T persons
• Extend necessary guidance and escort services to
  the trainees in approval and execution of their
  projects. 
• Introduce courses in entrepreneurship for ST
  students
• Conducting research and survey for identifying
  entrepreneurial opportunities, particularly in
  hi-tech areas
• Organizing TQM training for entrepreneurs and
  engineering students
• Rendering advice to sick SMEs for their
  rehabilitation
• Undertake product/process development which has
  potential for entrepreneurship development

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Organisational structure of EDC 

• The EDC is part and parcel of the host
  institution for all administrative purposes
• The EDC is guided by an Advisory Committee with
  the head of the host institution as the Chairman
• The Cell must have a representative of DST on its
  Advisory Committee to ensure proper
  implementation of the scheme on a uniform basis
  throughout the country
• Representatives of organisations dealing with
  small industries promotion and entrepreneurship
  development at the State level are also included
  in the Advisory Committee
• The faculty members must have an adequate
  industrial and/or entrepreneurial background.
• Core staff is provided to implement the
  activities of the EDC.
• Experts from industry and outside institutions
  could be associated as guest faculty

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Criteria for Selection of Host Institution 

• It must be a premier college or institute or
  university offering courses in Science,
  Technology or Engineering
• Proven expertise in industrial RD with P.G./
  Doctorate programmes and research activities.
• Qualified and dedicated faculty in various
  disciplines having the potential for
  entrepreneurship development.
• Availability of sophisticated workshop and
  laboratory facilities for precision measurement,
  quality control and standardisation.
• Computational facilities with graphic terminals
  and business software.
• Location of some industries in the neighbourhood.
  
• Some experience in Entrepreneurship Development.
• Faculty support for management studies.
• Adequate space for locating the cell and
  facilities of office equipment and furniture
  required for the cell

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Mechanism of Funding 

• DST provides funds to the host institution to
  meet the recurring expenditure and to buy some
  office furniture, office equipment, library
  books, etc., on a year to year basis, when
  approved by the competent authority
• The financial support is normally given by DST
  for five years on a yearly basis depending on the
  progress. It is the responsibility of the host
  institution to continue the Cell thereafter and
  arrange funds for the same. In fact, the EDC is
  supposed to merge into the normal stream of the
  institution and the expenditure may be met from
  the usual sources or from the income generated by
  the cells through consultancy, etc

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Faculty Development Programmes for ST
Institutions

• Need for trainers in Science and Technology based
  entrepreneurship development
• Faculty Development Programmes are implemented to
  train teachers from technical institutions,RD
  organizations, so that they can function as
  resource person in motivating students and
  teaching them the intricacies of entrepreneurship

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TECHNOLOGY BASED ENTREPRENEURSHIP DEVELOPMENT
PROGRAMME (TEDP)

• TEDP is a structured training programme of
  6-weeks duration designed to  motivate and
  develop entrepreneurs in specific
  products/technologies/processes developed by CSIR
  labs, RD institutions, universities etc
• In a TEDP the entrepreneurs are exposed to
  technical knowledge about the products and
  technologies and are enabled to develop their
  skills at the lab of the technology provider
• The technology institutions having commercially
  viable technologies, get potential entrepreneurs
  as its "takers" 
• The participants are selected through various
  tests and personal interviews to assess their
  potential of becoming a successful entrepreneur.
  During the training the participants also get to
  know the intricacies of how to start and manage
  an enterprise. At the end they are assisted in
  preparing a bankable project report

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Information and Services required by a potential
techno-entrepreneur

• Industry promotion policies and incentive schemes
  
• Guidelines on how to set up an enterprise
• Project profiles of investment opportunities
• Technology sources 
• Directory of machinery and equipment
• Industrial infrastructure facilities
• Funding options available from central and state
  level financial institutions, venture capital
  organisations and banks
• Useful web links
• Stories of successful entrepreneurs

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THANK YOU