Universities and Regional Economic Development: The Entrepreneurial University of Waterloo

1
Universities and Regional Economic
DevelopmentThe Entrepreneurial University of
Waterloo

• Allison Bramwell and David A. Wolfe
• Program on Globalization and Regional Innovation
  Systems
• Munk Centre for International Studies
• The University of Toronto
• www.utoronto.ca/progris
• Canadian Political Science Association Annual
  Meeting
• The University of Western Ontario
• June 2-4, 2005

2
Beyond Knowledge Factories

• Universities are central actors in the
  knowledge-based economy
• Seen as knowledge factories that generate
  reservoirs of untapped commercializable knowledge
  waiting to be taken-up by firms and applied
• Knowledge drives innovation BUT process is fluid
  and iterative rather than linear
• Universities transfer knowledge in multi-faceted
  ways and can be engaged institutional actors in
  the local economy

3
Universities and Learning in Knowledge-Based
Economies From Linear to Interactive Models of
Knowledge Transfer

• Knowledge transfer as an interactive vs. linear
  process
• Lundvall (1992) successful innovation requires
  constant learning and adaptation so emerging
  paradigm is more that of a learning economy
• Cooke (1988) Maskell (2001) innovation is a
  social process and producers and users learn from
  each other in face-to-face exchange of tacit
  knowledge
• Wolfe (2005) learning occurs at the regional
  level through sharing of common networks of
  knowledge exchange, supported by regional
  institutions, especially universities
• Pavitt (1991) Cohen Levinthal (1990) firms
  need to develop absorptive capacity through high
  skill sets in order to exploit university-generate
  d knowledge

4
The University of Waterloo An Entrepreneurial
University Embedded in an Entrepreneurial
Community

• Today it is the University of Waterloo. If you
  go back in the cluster, it all comes from UW in
  some form or other
• Is there a cluster around the area, yeah there
  is. Is the external perception stronger than it
  actually is? Yeah, I think so
• We get referenced in presentations in San Diego,
  Washington and New York about this Waterloo
  clusterbut its clear that the University of
  Waterloo is the one thing that pulls it
  together.
• Confidential interview.

5
Alternative Knowledge Transfer Mechanisms

• Knowledge Creation
• not just primary research but also technical
  support for firm-based RD through
  project-oriented consulting and joint research
  projects
• Human Capital Formation
• international reputation for producing skilled
  graduates in math, sciences, and computer
  engineering supported by Co-op Program
• Global Linkages
• researchers act as conduits for global
  pipelines of knowledge that contribute to local
  buzz
• Engaged Entrepreneurial Institution
• acts as a good community player that shapes and
  supports local networks and flows of knowledge
  that underpin a highly successful regional
  economy

6
There is an entrepreneurial identification
process where students go back and forth to
industry which gives individuals experience in
industry. Faculty members will go back and talk
to their students, and co-op students are
enthusiastic coming back from their terms. The
University IP Policy also attracts
entrepreneurial researchers interested in the IP
dividend, with strong commitments to industry.
Due to various programs such as the Co-op
Program, the University of Waterloo has had, from
the outset, very strong university-industry
linkages. As a result, weve never had any major
problems promoting these linkages as they pay
dividends in the community.Confidential
interview.