Academic Spin Off and Technological Innovation Diffusion in Less Successful Areas: A Viable System Perspective

ACADEMIC SPIN-OFFS AND TECHNOLOGICAL

INNOVATION DIFFUSION IN LESS SUCCECCFUL

AREAS: A VIABLE SYSTEM APPROACH

Gabriella Levanti

University of Palermo

Federica Palumbo

University of Palermo

Carlo Amenta

University of Palermo

WCSA - World Complexity Science Academy II Conference

September 26th – 27th, 2011

what are the context conditions and institutions that

support academic spin off emergence and

development?

In order to shed light on this topic, we integrate:

a) the viable system approach (Beer, 1972 and 1984;

Golinelli, 2010); with

b) the streams of managerial research that focus on the social

and systemic nature of innovation process

- the national innovation system theory (Freeman, 1987;

Lundvall, 1992; Soete, 2007)

- the triple helix model of innovation (Etzkowitz and

Leyersdoff, 1999 and 2000)

• Section 1: Introduction

• Section 2: Theoretical background

• Section 3: Representing academic spin offs through

the integration of the viable system approach with

some innovation theories

• Section 4: Research methods and data

• Section 5: The Case of “Consorzio Arca” and the

academic spin offs it supports

• Section 6: Discussion and conclusion

Decision Making

Area

Action Area

Academic

Spin Off

System

(L Level)

Suprasystems (L + 1 Level)

Subsystems (L – 1 Level)

Viable System’s Survival and Development

General (meta) guidance principle

Creation of economic

value

generation and renewal

of competitive and

innovative advantages

Following of

consonance and

resonance conditions

with

• the suprasystems

• the subsystems

Business

idea

generation

Business

plan

definition

Start up

Strengthening:

• value creation

• consonance

conditions

The academic

spin off

becomes a

viable system

universities and other (private and public) research

organizations

State and government institutions

business incubators

financial institutions (i.e., business angels, venture capitalist,

private equity, stock market, and so on)

customers

other companies

labor market

Academic

Labs

Business Incubator

Academic Spin off

University of Palermo

SINTESI Association Sviluppo Italia Sicilia

Easy Integrazione di Sistemi

• Business incubation

• Spaces and logistic services

• Venture management

• Relational capital

3

11 12 12 13 14

3

7

13

2005 2006 2007 2008 2009 2010

incubated spin-off post-incubated spin-off

Energy and Environment; 10

spin-offs

Architectural and cultural heritage; 3

spin-offs Design; 3 spin-offs

ICT; 3 spin-offs

Diagnostic equipments;

3 spin-offs

Biotechnology; 2 spin-offs

Electronics; 2 spin-offs

Biomedical; 1 spin-off

Academic

Lab Academic Spin –offs

Research Organizations: - CNR Institute of Biomedicine and

Molecular Immunology

- National Institute of Astrophysics

- Sicilian Electronic Research Centre

Government Institutions: - Ministry of Economic Development

- SINTESI Association

- Sviluppo Italia Sicilia

- Ministry of Instruction, University and

Research (MIUR)

-Ministry of the Environment

Labour Market:

More than 100 new

workplaces from 2005

to 2010

Financial System: - Vertis SGR - Life Science Capital SGR

- Quantica SGR

Industry: - Easy Integrazione di sistemi

- Mediavoice

- Biodagene s.r.l.

Start Cup Palermo,

PNI

Biotecnology; 4

Diagnostic equipments; 2

Biomedical; 2

Design; 1

38 44

64

2007 2008 2009

€ 1.098.380

€ 701.169 € 706.775

€ 319.036

€ 874.388

2007 2008 2009

incubated spin-offs post-incubated spin-offs

€ -

€ 100.000

€ 200.000

€ 300.000

€ 400.000

€ 500.000

€ 600.000

€ 700.000

Energy and Environment

Diagnostic equipments

Architectural and Cultural

Heritage

Biomedical Biotechnology Electronics ICT

2007

2008

2009

OLS estimator

Random Effects estimator

itit9it8it7

it6it5it4it3

it2it1it

ε+lifeβ+nkingstartcupraβ+capitalβ+

+membersβ+pubfinβ+patentsβ+rdresearcheβ

+periodincubationβ+ndincubatioβ+C=turnover 0

itit9it8it7

it6it5it4it3

it2it1iit

ε+lifeβ+nkingstartcupraβ+capitalβ+

+membersβ+pubfinβ+patentsβ+rdresearcheβ

+periodincubationβ+ndincubatioβ+u=turnover

Variable Expected relation with

performance

dincubation (+)

Incubationperiod (+)

dresearcher (-)

patents (+)

pubfin (+)

members (+)

capital (+)

startcupranking (+)

life (+)

Hypothesis of the models

Results

Observation time interval is too short.

Competitiveness is a multidimensional aspect that should be investigated from several point of views in addition to turnover.

Consonance is a qualitative aspect difficult to measure.

Use of the social network analysis to measure relationships of spin-offs with the context.

A viable system view of the Consorzio ARCA business incubator.