Models of Interaction Between the Academy and Industry

Abstract

Education has been accepted by the leaders of society as an overall public good and able to provide expertize to address difficult problems and produce solutions. Technical universities, or institutes of technology, had by definition a closer relationship to society since they were more concerned with the applied aspects of science and technology, which were of more immediate interest to those in society seeking to solve real-world problems. It is this latter aspect which has resulted in the widening agenda for the academy as a whole—in seeking to understand how it can play an effective role without diminishing its longstanding traditions of excellence in the core areas of teaching and research. In some cases this has been driven by government policy where the government provides some, or all, of the required financial support to the university. In other cases, it has been driven by financial necessity where there is little, or no, government financial support, and the institution has to generate its own income streams to support its mission and its teaching and research programmes. In a competitive market place and the increasing globalization of business, industry increasingly seeks to use strategies, tools and techniques that increase efficiency and effectiveness, whilst at the same time maximizing quality and minimizing cost. Companies may consider outsourcing their Research and Development requirements to reduce corporate overheads and optimize staffing levels. This means that Universities and other private laboratories can utilize the opportunity and look to collaborate with industry to supply this expertize on terms that are mutually acceptable and beneficial. Universities also generate their own spin-outs from intellectual property they create, as well as licensing technology to industry, rather than transferring it. However, the relationship between university and industry is not without its cultural differences and challenges, chief of which is the historical commitment of the academy to advance knowledge whether it is immediately applicable or not. In addition, there are many fundamental and important long-term research issues that many would argue are the primary duty of the academy to address, which may have no direct application in the short to medium term. This is resulting in increasing tensions in the academy, and in the priorities for national and international funding agencies. A variety of models of interaction between the academy and industry have been developed depending on the one hand on the circumstances of the institution, its mission, its values, its expertize and its relationship to the local and cultural environment in which it is situated. On the other hand, there are factors to do with local and national industry including their needs and requirements, their methods of operation, and the degree to which the expertize in the academy may be utilized to advantage. The pros and cons of these various models are reviewed, and lessons learned are summarized.