Exploitation and Valorization of Project Results: Training Course

1. Training course on Dissemination and Communication Techniques and Tools for European projects Fifth session EXPLOITATION AND VALORIZATION OF PROJECT RESULTS

2. Table of contents 2 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

3. In Athens in may, we mentioned about exploitation: • LET’S SEE WHAT’S GOING ON CONCERNING EXPLOITATION OF PROJECT RESULTS IN H2020 3 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

4. Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

5. WHY EXPLOITATION IN EC PROJECTS? A CONTRACTUAL OBLIGATION H2020 oblige EC funded projects to exploit and impact the market: “The dissemination and transfer of knowledge is a key added value of European research actions, and measures shall be taken to increase the use of results by the research community, industry, policy makers and society” Basic principles layed out in Title III of Rules for Participation • Article 43 - Exploitation and dissemination of results • “Each participant that has received Union funding shall use its best efforts to exploit the results it owns, or to have them exploited by another legal entity, in particular through the transfer and licensing of results in accordance with Article 44.” • Rules for participation and dissemination in "Horizon 2020 - the Framework Programme for Research and Innovation (2014-2020) - TITLE III - RULES GOVERNING THE EXPLOITATION AND DISSEMINATION OF RESULTS AN OBJECTIVE REASON To get return from the knowledge, technology and commercial potential from the intermediate and final outcomes of the project 5 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

6. DISSEMINATION-EXPLOITATION&VALORIZATION In projects funded under H2020 beneficiaries have the obligation to define the expected results and their strategy for exploitation and dissemination. Key terms: 6 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

7. BUSINESS vs EC PROJECTS EXPLOITATION 7 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

8. BUSINESS vs EC PROJECTS EXPLOITATION 8 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

9. Exploitation Research Results in EC Projects? • TAKE A LOOK AT SOME KEY ASPECTS OF EXPLOITATION! 9 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

10. Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

11. PROJECT OUTCOMES • The first key element in exploitation is to have a clear description of all project outcomes, products, services and knowledge generated within the project, that could potentially be exploited: • Products • Services • Prototypes • Guidelines • Software • Methodology…. 11 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

12. MARKET ANALYSIS THE CONCEPT Market Analysis is an essential aspect on Exploitation. Exploitation needs a market, a buyer of our product/service/technology Market Analysis helps to identify which is our market and which are the most suitable media to reach it. MARKET = CUSTOMERS/END USERS. 12 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

13. MARKET ANALYSIS KEY PARAMETERS I • WHO ARE THEY? • WHAT DO THEY NEED? 13 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

14. MARKET ANALYSIS KEY PARAMETERS II • HOW ARE WE GOING TO REACH THEM? • HOW IS THE MARKET ENVIRONMENT? 14 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

15. MARKET ANALYSIS KEY PARAMETERS III • In summary, a Project Market Analysis should provide information on: • Marketenvironment • Consumer’sneeds /Clients • Competitors • Standards, legal & environmentalissues • Some PEST (Political, Economical, Social, Technological) and SWOT (Strength, Weaknesses, Opportunities and Threats) analysis. Benchmarking of our project products/services versus main competitors. 15 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

16. INTELLECTUAL PROPERTY ISSUES COMMON RISKS There are RISKs that simply concern EC Projects, those related with a Consortium formed by different agents with different interests: 1. Conflict of Interest among the partners:There can arise conflicts related with the ownership of the results of intellectual property rights. IPR rules agreement must be established before the exploitation phase starts. 2. Lack of Support along the project development:The success of a project depends on the collaboration of the whole consortium; if any of the partners doesn’t cooperate enough can cause the failure of the project or at least the failure of the exploitation plans related with the project’s outcome 3. Changes in the final phase of the project:It may happen that at the end of the project some of the partners loose interest in exploitation, change their priorities or decide that part of the outcomes must not be exploited. This may cause prejudice to the rest of partners and to the final exploitation of the results. 16 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

17. INTELLECTUAL PROPERTY ISSUES COMMON RISKS 23 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

18. INTELLECTUAL PROPERTY ISSUES IP & CONSORTIUM AGREEMENT Intellectual Property Rights are usually included in the Consortium Agreement of the project, which clarifies the relationship among the project partners. In a consortium there are different interests and not everybody is interested in the same type of exploitation. Some are willing to create a spin-off firm that commercially exploits the Project outputs; other will like to publish in scientific journals or magazines the main discoveries; other would like to find industrial firms that would pay for royalties;….. It is always advisable to clarify the ownership of results within the consortium once they have been created, before the partners start setting up exploitation strategies! http://www.eurosfaire.prd.fr/7pc/documents/1313579394_comparison_of_fp7_consortium_agreement_models.pdf 18 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

19. INTELLECTUAL PROPERTY ISSUES IP MANAGEMENT I • Which knowledge are we exchanging? • Under which conditions? • Who will be the owner of the results? • What happens in cases of joint ownership? • Who and how will exploit the results? • How are we protecting confidential information? • How are we going to share the revenues? Ramocki, J., “Intellectual Property in Horizon 2020 – overview with a focus on comparison with FP7”, European IPR Helpdesk Bulletin, N°11, October - December 2013: http://www.iprhelpdesk.eu/sites/default/files/newsdocuments/IPR_Bulletin_No11-1.pdf 19 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

20. INTELLECTUAL PROPERTY ISSUES IP MANAGEMENT II Project partners must identify their background in writing Best practice! do so before the Contract Agreement is signed! Principle = results belong to the beneficiary generating them. If results have been generated by several partners jointly = joint ownership. Best practice! agree on a tailored joint ownership agreement adapted to each jointly owned result. 20 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

21. INTELLECTUAL PROPERTY ISSUES IP MANAGEMENT III IP issues however, do no end with the signature of the Consortium Agreement. They are relevant at all stages of the project: during the project implementation as well as after project end: • DuringImplementation • IP protection and management • Granting of accessrights • Refining and updating of your exploitation strategy • After Project End • Disseminating and securing generated IP • Exploitation of theresults • Valorisation of intangible values Commercialisation 21 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

22. INTELLECTUAL PROPERTY ISSUES IP MANAGEMENT IV So, Knowledge management and protection is a must during the whole project lifetime. Good practices: • To create and maintain an IP repository/file with data of all knowledge produced within the project; • Any other necessary agreement should be agreed upon and signed: • Confidentialityagreements • Jointownershipagreements • Technology transfer agreements…… • The Consortium Agreement has been signed before the project starts! • Many changes in the project having an impact on exploitation are most likely to happen during the project and have to be discussed and negotiated. 22 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

23. NEGOTIATION TIPS 23 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

24. COMMERCIALIZATION CHANNELS RANGE I There is a great range of different paths to bring research results to the marketplace 24 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

25. COMMERCIALIZATION CHANNELS RANGE II 25 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

26. COMMERCIALIZATION CHANNELS HISTORY • Historically, research exploitation has been dominated by licenses, • because the royalties obtained almost always surpass spin-off income. • Also, it is less costly to sell knowledge to a company in terms of time and effort than to create a new way to exploit it. • Research groups have had difficulties in becoming entrepreneurs due to: • opportunity cost academic careers • lack of management skills • lack of market knowledge • Consultancy is one of the most widespread activities in which industry and academics engage. This channel is very important to industry and usually does not compromise university objectives • For further information on the topic please also see: • Exchanging Value. Negotiating Technology Licencing Agreements http://www.wipo.int/sme/en/documents/guides/technology_licensing.html • Knowledge Transfer Study 2010-2012, final report: • http://knowledge-transfer-study.eu/norm/home/ • OECD (2013), Commercialising Public Research: New Trends and Strategies, OECD Publishing: • http://dx.doi.org/10.1787/9789264193321-en 21 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

27. TRL – TECHNOLOGY READINESS LEVEL CONCEPT It is a measure to enable assessment of the Maturity of a particular technology and the consistent comparison of maturity between different types of technologies. When a new technology is first invented or conceptualized, it is not suitable for immediate application. New technologies are usually subjected to experimentation, refinement, and increasingly realistic testing. Once the technology is sufficiently proven, it can be incorporated into a system and into the markets. Directly linked to Technology Risk: Untested engineering, technological or manufacturing procedures entail some level technical risk that can result in the loss of time, resources and possibly harm to individuals and facilities. Technical risk is measured as an expected value derived from prior experience that led to undesirable results 27 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

28. TRL – TECHNOLOGY READINESS LEVEL PROCESS Assessment of the readiness of the individual technologies will allow Risk Reduction in budget and planning exploitation Horizon 2020 uses the TRL scale as a tool for decision making on RDI investments at EU level. 28 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

29. TRL – TECHNOLOGY READINESS LEVEL TRL IN H2020 Excellence Science Societal Challenges Industrial Leadership 29 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

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31. Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

32. THE EXPLOITATION PLAN DELIVERABLE • The Exploitation Plan is the tool that EC will use to evaluate • the IMPACT of the project, complementing the Dissemination Plan: Proposal template technical annex: 2.2. Measures to maximise impact a) Dissemination and exploitation of results: "• Provide a draft ‘plan for the dissemination and exploitation of the project's results’ (unless the work programme topic explicitly states that such a plan is not required). (…) Dissemination and exploitation measures should address the full range of potential users and uses including research, commercial, investment, social, environmental, policy making, setting standards, skills and educational training. (…) • Explain how the proposed measures will help to achieve the expected impact of the project. Include a business plan where relevant.” 32 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

33. THE EXPLOITATION PLAN MAIN OBJECTIVES TO WHOM IS ADDRESSED? WHEN MUST START? 33 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

34. THE EXPLOITATION PLAN WHAT MUST CONTAIN? LIST OF TOPICS EXAMPLES 34 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

35. THE EXPLOITATION PLAN • The exploitation plan should cover these topics: • Description of the Project consortium • Description of the Project outputs • MarketAnalysis • IPR issues • Individual (every partner) as well as jointly exploitation plans, even for non commercial partners (used in further R&D activities, consultancy….) • A Business Plan, depending on the type of project and its technological readiness level. If applicable, the business model and financial feasibility with sales and profit and loss forecast during the first operational years, should be included. 35 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

36. THE EXPLOITATION PLAN THE BUSINESS PLAN • Depending on the type of project and the Technology Level readiness a Business Plan will have to be produced. Contents of a Business Plan: Executive Summary Service/Product Description Market and Competitors Marketing Plan Management Team & Structure SWOT & Risk Analysis Financing Operational Process The BP must be a real compromise among the partners!! 36 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

37. THE EXPLOITATION PLAN SUMMARY 37 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

38. SUPPORTING TOOLS • The EC is implementing several supporting tools to help project’s consortiums bridging the gap between research outcomes and exploitation, among them: • Forallprojects: • -IPR Helpdesk: helpline, training modules, webinars, newsletters • For specific areas: • -NMP projects: IP, business, patenting and standardization assistance • -Energy projects: support to exploitation of EU funded projects 38 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

39. SUPPORTING TOOLS • European IPR Helpdesk aims at raising awareness of Intellectual Property (IP) and Intellectual Property Rights (IPR) www.iprhelpdesk.eu • assisting SMEs and beneficiaries of EU-funded programs in dealing with IPR matters • providing advice and first-line, high-quality support on IP/IPR issues via different services • raising awareness of the value of intellectual assets and of the necessity to secure and manage them • empowering its target groups to develop capacities of their own to deal with IP/IPR 39 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

40. SUPPORTING TOOLS • The Innovation Platform It provides to NMP projects a series of tailored services: • Project Risk Analysis (PRA) and Exploitation Strategy Seminars (ESS) to brainstorm on how a consortium can address the risks and potential obstacles to the exploitation • Business plan development service • Assistance for patenting • Assistance for standardisation http://ec.europa.eu/research/industrial_technologies/assessment-and-exploitation_en.html 40 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

41. SUPPORTING TOOLS • EC Calls http://ec.europa.eu/research/index.cfm?pg=tenders-open Calls for Tenders related to the Directorate-General for Research & Innovation Tender reference number RTD-K-2013-ENERGY TitleSupport services for exploitation of research results. Description The aim of this action is to provide the Commission with external assistance for an on-demand service benefiting former and current DG RTD grant beneficiaries of the Energy theme of the FP7 'Cooperation' specific programme and the Horizon 2020 Secure, safe and efficient energy Societal Challenge in view of supporting them in the exploitation of their EU-funded research results. This would involve, inter alia, identification of market potential and opportunities; evaluation of competing technologies; development of business plans; assessment of upscaling costs; and IPR protection. Contract type Services Procedure type Open procedure Status Closed Published on TED Checked 41 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

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43. CONCLUSION MAIN BENEFITS OF THE EXPLOITATION OF RESEARCH RESULTS 43 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

44. CONCLUSION HAVE A CLEAR STRATEGY Monitor regularly relevant external factors affecting your exploitation potential (other projects, competing technologies,…) Continuously update your Exploitation Plan ! 44 Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results

45. THANK YOU! Haivisio Training session 5 on Communication: Exploitation and Valorization of Project Results