Report to/Rapport au :

 

Corporate Services and Economic Development Committee

Comité des services organisationnels et du développement économique

 

and Council/et au Conseil

 

08 May 2008 / le 08 mai 2008

 

Submitted by/Soumis par : Nancy Schepers,
Deputy City Manager/Directrice municipale adjointe,

Planning, Transit and the Environment/Urbanisme, Transport en commun et Environnement 

 

Contact Person/Personne ressource : Rob Mackay, A/Director

Economic and Environmental Sustainability/Direction de la viabilité économique et de la durabilité de l’environnement

(613) 580-2424 x 22632, rob.mackay@ottawa.ca

 

City-wide/à l'échelle de la Ville

Ref N°: ACS2008-PTE-ECO-0015

 

 

SUBJECT:

BUILDING Ottawa's eCONOMIC PROSPERITY - a funding request to support ocri initatives

 

 

 

OBJET :

Favoriser la prospérité économique d'Ottawa – demande de financement pour soutenir les initiatives du OCRI

 

 

REPORT RECOMMENDATION

 

That the Corporate Services and Economic Development Committee recommend Council approve up to $520,000 in partnership funding to the Ottawa Centre for Research and Innovation (OCRI) to support the delivery of to the following programs:

 

·        Regional Innovation Network (RIN);

·        Ontario Research Commercialization Project (ORCP);

·        Investment Attraction; and

·        Cluster Support.

 

 

RECOMMANDATION DU RAPPORT

 

Que le Comité des services organisationnels et du développement économique recommande au Conseil d’approuver un cofinancement d’une valeur de 520 000 $ avec le Centre de recherche et d’innovation d’Ottawa (OCRI) en vue de soutenir la prestation des programmes suivants :

 

·        Réseaux régionaux d’innovation (RRI);

·        Programme ontarien de commercialisation de la recherche (POCR);

·        Attraction des investissements; et

·        Soutien aux grappes.

 

 

BACKGROUND

 

The Ottawa Centre for Research and Innovation (OCRI) is a non-profit agency supported by over 650 private sector members along with federal, provincial and municipal funding partners. 

 

OCRI’s activities include the delivery of:

 

 

·        Programs to support entrepreneurs from pre-start-up to expansion through its Entrepreneurship Centre;

·        Investment attraction and facilitation services through its Global Marketing arm; and

·        Commercialization of technology programs through its Investment and Commercialization arm.

 

OCRI also undertakes:

 

·        Delivery of business advisory services;

·        Delivery of educational seminars;

·        Dissemination of business education materials;

·        Hosting of networking events;

·        Participation in investment and trade missions and prospecting abroad;

·        Conducting investment market research;

·        Facilitation of prospective investors (including site selection, and business partner introductions);

·        Linking businesses with university, government and private-sector research and researchers;

·        Linking businesses with capital funding sources (including debt and investment); and

·        Promoting science and technology education choices through programs to familiarize students with high-tech-business career and entrepreneurial opportunities.

 

OCRI uses funding from federal, provincial, municipal, member, and fee-for-service sources to finance its activities.  Many of the federal and provincial funding programs that OCRI participates in require municipal matching funds to demonstrate local support.

 

Regional Innovation Network (RIN)  - Request for $250,000 in City partnership funding

 

In order to access $260,847 from the Ontario Ministry of Research and Innovation’s RIN program in 2008, OCRI is requesting $250,000 in partnership funding from the City of Ottawa. These funds will be supplemented with an additional $358,643 in the form of private sector contributions allowing for a total project allocation of $869,490.

 

This is the last year of a three-year provincial funding program which has contributed $1,400,000 in support toward the Regional Innovation Network. In both 2006 and 2007, the City has contributed $250,000 to this program. This year’s request will enable OCRI to meet the growing demand for services from the Cleantech and Ottawa MedTech Networks. It will also enable the growth of a therapeutics network, create better linkages to the research community, and enhance the capacity of the Investment and Commercialization Group to build and grow start up and emerging companies in Ottawa.

 

Ontario Research Commercialization Project (ORCP)  - Request for $100,000 in City partnership funding

 

In order to access $422,500 from the ORCP in 2008, OCRI is requesting $100,000 in partnership funding from the City of Ottawa. These funds will be combined with private sector contributions of $322, 500 to create a project fund totalling $845,000.

 

The Ontario Research Commercial Program (ORCP), which began in June 2006 and ends June 2009, has awarded OCRI $1,800,000.  This funding will be used for projects which improve “receptor capacity”, help build the existing technology-based Small and Medium Enterprises (SMEs) and start-ups, accelerate technology and knowledge transfer, and create more viable and successful businesses. To support the ORCP, the City has previously approved $100,000 of capital funding in both 2006 and in 2007. The current capital request will be used to further support the partnership component of four projects; Market/Competitive Intelligence, Business Opportunity Networks, Entrepreneur Development, and Convergence Exploration.

 

It is important to note that over the life of both ORCP and RIN, ending in 2008, the City's funding contribution has totalled $1.05M and has leveraged an additional $4.36M in support from the province and other partners.  This represents a total investment of $5.41M in commercialization of innovation activity in Ottawa.

 

Investment Attraction – Request for $100,000 in City partnership funding

 

In order to access $200,000 from the Department of Foreign Affairs and International Trade’s (DFAIT) Community Investment Support Program (CISP) in 2008, OCRI is requesting $100,000 in partnership funding from the City and $100,000 from private sector and partner contributions.  If successful, the City’s $100,000 investment will allow OCRI to expand its capacity for investment attraction activities by $400,000.

 

OCRI continues to execute lead generation activity under DFAIT’s CISP program. Under CISP, OCRI has focused on establishing global networks, testing and understanding various geographic markets, competitive forces and developing regional messaging. The 2008 lead generation program will target gaming/new media, security, clean energy and medical devices/convergent technologies in priority US markets. It will promote Ottawa as a major innovation hub in targeted global markets and continue to execute investment attraction activity in India, China, and the United Kingdom. Based on continued support from the City and building on our past success, OCRI expects to generate more than 80 international leads in 2008 under this program.

 

The Canadian Department of Foreign Affairs and International Trade delivers the Community Investment Support Program (CISP) which helps to build local investment attraction capacity.  CISP requires matching funds from the municipality of the applicant organization.

In order to access $200,000 from the CISP in 2008, OCRI needs $100,000 from the City and $100,000 from private sector and partner contributions.  If successful, OCRI will thus be able to expand its capacity for investment attraction activities by $400,000 through a $100,000 investment by the City.

 

The Ontario Ministry of Research and Innovation (MRI) delivers the Regional Innovation Network (RIN) and Ontario Research Commercialization Program (ORCP) to facilitate commercialization of innovation activities including access to intellectual property information, market research, business advisory services, technology prospecting services, entrepreneurship training, and liaison between businesses, researchers, universities, government laboratories, and capital sources.  The City of Ottawa has matched funds from MRI over the past two years ($250,000 per year to OCRI for the RIN in 2006 and in 2007 and $100,000 to OCRI for the ORCP in 2006 and 2007).

 

In order to access $260,847 from the RIN program in 2008, OCRI needs $250,000 in matching funds from the City.  In order to access $100,000 from the ORCP in 2008, OCRI needs $100,000 in matching funds from the City.  If successful, OCRI will thus be able to expand its capacity for commercialization of innovation activities by $710,847 through a $350,000 investment by the City.

Cluster Support – Request for $70,000 in City partnership funding

 

In order to manage, coordinate and administer the Cluster Support Program, OCRI requires $70,000 funding support from the City.  If successful, OCRI will be able to expand its support for cluster industries by up to $495,000 by leveraging the $70,000 in support from the City.

 

Within the Ottawa’s Economic Strategy, the City has been committed to a cluster-based economic development policy. An industry cluster is a group of companies that produce, mainly for export, similar products and/or services within a close geographic proximity such as a municipality or region. In response to the City’s approach to cluster-based economics, OCRI developed and implemented a cluster support model that supports cluster growth while minimizing the demand for new funds. The City supported this pilot project with $140,000 over the past two years. The result of this pilot project has been the creation of a logistic support system that is now supporting eight clusters through a set of productivity tools within the Global Marketing section of OCRI.  In 2008, the clusters have defined a series of strategic initiatives that will strengthen and help grow the Ottawa economy. This current funding request will support a High School Pilot Technology Centre Project (Software), a Federal Industrial Benefits Capture Initiative (Security, Wireless, Software and Cleantech), an Industry recognition campaign (Contact Centres), and a Joint Targeted Marketing Initiative (Semiconductor).

High-tech cluster businesses in Ottawa have collectively identified strategic initiatives that they support to strengthen Ottawa’s competitive position in their respective industries.

 

The software cluster has identified the need for a High School Technology Centre to enthuse students about high technology study at an early stage by offering high school credit programs at a shared facility where all Ottawa high school students can obtain high-calibre technology education and training.  Direct project costs and in-kind support totals $120,000 for this project.

 

The security cluster has identified an opportunity for expansion through a Federal Industrial Benefits Capture Initiative.  The Canadian Department of National Defence is currently sourcing major capital programs to foreign businesses due to insufficient capacity in Canadian industry.  However, the foreign businesses are obligated to procure from Canadian suppliers - whether for inputs to the projects or not.  This initiative would build awareness through focussed seminars, development of a database of programs, prime contactors and their associated offset obligations, arrangement of meetings between prime contractors, industry experts and Ottawa businesses, and through linking Ottawa businesses with potential opportunities for business development.  Direct project costs and in-kind support totals $150,000 for this project.

 

The contact centre cluster has identified the need to improve public perception of the industry in Ottawa.  Its proposed Contact Centre Industry Recognition Campaign would inform the public, students (as potential employees), and investors of the well-paying and excellent career opportunities afforded by businesses in the Ottawa cluster.  Direct project costs and in-kind support totals $75,000 for this project.

 

The semiconductor cluster has identified the need to collaborate on a cooperative marketing and sales approach targeted to the Taiwan market for wireless telecommunications.  Its Semiconductor Partnering Initiative would identify collaborators, prepare a cooperative strategy and begin its implementation.  Direct project costs and in-kind support totals $80,000 for this project.

 

 

In order to manage, coordinate and administer these four initiatives, OCRI needs an additional $70,000 funding support from the City (for one full-time junior program manager and one half-time clerical staff).  If successful, OCRI will thus be able to expand its support for cluster industries by up to $495,000 with $70,000 in support from the City.

 

 

DISCUSSION

 

Ottawa’s 20/20 Economic Strategy was guided by the directive to develop and support strong export-based economic generators.  In its guiding principle “An Innovative City Where Prosperity is Shared Among All”, the Strategy identifies that the City should “accelerate the growth of export industries to increase the wealth of Ottawa’s local and rural economies”.  The Strategy also established the following policies:

 

 

The funding requested in this report is to support those initiatives which proposed in this report respond directly to these policies and their intentions within the 20/20 Economic Strategy.

 

Regional Innovation Network (RIN)

 

The Ontario Ministry of Research and Innovation (MRI) delivers both the Regional Innovation Network and Ontario Research Commercialization Program (ORCP).  These programs aim to facilitate commercialization of innovation activities which includes access to intellectual property information, market research, business advisory services, technology prospecting services, entrepreneurship training, and liaison between businesses, researchers, universities, government laboratories, and capital sources.  The City of Ottawa has matched funds from MRI over the past two years ($250,000 per year to OCRI for the RIN in 2006 and in 2007 and $100,000 to OCRI for the ORCP in 2006 and 2007).

 

More specifically, the Regional Innovation Network includes a full-service investment and commercialization program for start-up and emerging companies in the life science, cleantech, and Information and Communications Technologies (ICT) sectors including:

 

·        Access to mentors;

·        Market intelligence;

·        Business advisory services; and

·        Access to capital

 

This program has also launched a business accelerator, an expansion of Cleantech Initiative (formerly the Bioproducts, Energy and Environmental Technologies Business Network), and a launch of the Ottawa MedTech Network (formerly the Ottawa Medical Devices Network).

 

By approval of the City’s funds, and under the RIN program, the following deliverables will be achieved:

·        Participation in Canada’s Top 10 Investment forums in Boston, New York, San Francisco as well as call for applications for 2008/09 and hosting Canada’s Top 10 investment bootcamp;

·        Facilitating investment interest in six Ottawa Life Science and Cleantech companies;

·        Business advisory services to 60 new start-up or emerging companies;

·        Facilitating mentorships for four Ottawa companies, in partnership with the National Research Council’s Industrial Research Assistance Program;

·        Facilitating access into the Ontario Business Mentorship and Entrepreneurship Program for two new Ottawa companies;

·        Representing Ottawa at the World Congress on Industrial Biotechnology and Bioprocessing;

·        Hosting a Green Buildings showcase in Ottawa;

·        Hosting a Clean Energy Forum in Ottawa;

·        Representing Ottawa at Bio 2008 in San Diego, California;

·        Graduating one company through the business accelerator and taking another into it;

·        Participation in BioFinance 2008, BioNorth 2008, and Cleantech Research Showcase;

·        Organize and host the Ottawa Life Sciences Achievement Awards; and

·        Facilitate networking events for Ottawa MedTech.

 

Ontario Research Commercialization Program (ORCP)

 

Components of the ORCP program will include:

 

·        Development of market/competitive intelligence including searches of electronic libraries and databases;

·        Establishment of business opportunity networks by using business development officers to search for technology commercialization opportunities among their network of businesses, researchers, and others in order to connect appropriate collaborators for commercial and economic results;

·        Development of entrepreneurial capabilities by imparting essential skills for business success to technically-oriented small-business proprietors, connecting the business proprietors with seasoned mentors, other businesses, service providers, researchers, and business opportunities.  Seminars, training courses, conferences, venture fairs, workshops and networking events will also be delivered to enhance the capabilities of Ottawa’s entrepreneurs; and

·        Exploration of technology convergence is being explored through linking such sectors as Information and Communications Technology (ICT) with Life Sciences for commercial opportunities (e.g. Bioinformatics).  Other sectors being explored for convergence include automotive, aerospace, energy, manufacturing, finance, etc

 

If successful, OCRI through a $350,000 investment by the City to the RIN and OCRP will be able to expand its capacity for commercialization of innovation activities by $710,847.

 

Investment Attraction

 

 

The investment attraction activity proposed under this request for City funding participation includes:

 

The Regional Innovation Network (RIN) program includes a full-service investment and commercialization program for start-up and emerging companies in the life science, cleantech, and ICT sectors including:

 

·Access to mentors;

·Market intelligence;

·Business advisory services; and

·Access to capital

 

It has also launched a business accelerator, expansion of Cleantech Initiative (formerly the Bioproducts, Energy and Environmental Technologies Business Network), and launch of the Ottawa MedTech Network (formerly the Ottawa Medical Devices Network).

 

Under the RIN program, the following deliverables would be enabled by approval of this funding request to the City:

 

·Canada’s Top 10 Investment forums in Boston, New York, San Francisco as well as call for applications for 2008/09 and hosting Canada’s Top 10 investment bootcamp;

·Facilitating investment interest in 6 Ottawa Life Science and Cleantech companies;

·Business advisory services to 60 new start-up or emerging companies;

·Facilitating mentorships for 4 Ottawa companies, in partnership with the National Research Council’s Industrial Research Assistance Program;

·Facilitating access into the Ontario Business Mentorship and Entrepreneurship Program for 2 new Ottawa companies;

·Representing Ottawa at the World Congress on Industrial Biotechnology and Bioprocessing;

·Hosting a Green Buildings showcase in Ottawa;

·Hosting a Clean Energy Forum in Ottawa;

·Representing Ottawa at Bio 2008 in San Diego, California;

·Graduating one company through the business accelerator and taking another into it;

·Participation in BioFinance 2008, BioNorth 2008, and Cleantech Research Showcase;

·Organize and host the Ottawa Life Sciences Achievement Awards; and

·Facilitate networking events for Ottawa MedTech.

 

Components of the ORCP program include development of market/competitive intelligence, establishment of business opportunity networks, development of entrepreneurial capabilities, and exploration of technology convergence.  The market/competitive intelligence project includes ad hoc searches of electronic libraries and databases.  The business opportunity networks are business development officers who search for technology commercialization opportunities among their network of businesses, researchers, and others in order to connect appropriate collaborators for commercial and economic results.  Entrepreneur development includes imparting essential skills for business success to technically-oriented small-business proprietors, connecting the business proprietors with seasoned mentors, other businesses, service providers, researchers, and business opportunities.  Seminars, training courses, conferences, venture fairs, workshops and networking events are delivered.  Technology convergence is explored through linking such sectors as Information and Communications Technology (ICT) with Life Sciences for commercial opportunities (e.g. Bioinformatics).  Other sectors being explored for convergence include automotive, aerospace, energy, manufacturing, finance, etc.Cluster Support

 

High-tech cluster businesses in Ottawa have collectively identified strategic initiatives that they support in order to strengthen Ottawa’s competitive position in their respective industries.  The main clusters identified to receive the majority of support through the Cluster Support program are in the areas of:

 

·        Software

·        Security

·        Wireless

·        Cleantech

·        Contact Centres

·        Semiconductor

 

The software cluster has identified the need for a High School Technology Centre to raise the interest of students in high technology at an early stage by offering high school credit programs at a shared facility where all Ottawa high school students can obtain high-calibre technology education and training.  Direct project costs and in-kind support totals $120,000 for this project.

 

The security, wireless, software and cleantech clusters have identified an opportunity for expansion through a Federal Industrial Benefits Capture Initiative.  The Canadian Department of National Defence is currently sourcing major capital programs to foreign businesses due to insufficient capacity in Canadian industry.  However, the foreign businesses are obligated to procure from Canadian suppliers - whether for inputs to the projects or not.  This initiative would build awareness through focussed seminars, development of a database of programs, prime contactors and their associated offset obligations, arrangement of meetings between prime contractors, industry experts and Ottawa businesses, and through linking Ottawa businesses with potential opportunities for business development.  Direct project costs and in-kind support totals $150,000 for this project.

 

The contact centre cluster has identified the need to improve public perception of the industry in Ottawa.  Its proposed Contact Centre Industry Recognition Campaign would inform the public, students (as potential employees), and investors of the well-paying and excellent career opportunities afforded by businesses in the Ottawa cluster.  Direct project costs and in-kind support totals $75,000 for this project.

 

The semiconductor cluster has identified the need to collaborate on a cooperative marketing and sales approach targeted to the Taiwan market for wireless telecommunications.  Its Semiconductor Partnering Initiative would identify collaborators, prepare a cooperative strategy and begin its implementation.  Direct project costs and in-kind support totals $80,000 for this project.

 

 

CONSULTATION

 

The Ottawa Partnership has been consulted and do support the recommendations contained in this report.

 

 

FINANCIAL IMPLICATIONS

 

The funding for this initiative is available within the Economic Development Division’s 2008 Capital Budget allocation

 

 

SUPPORTING DOCUMENTATION

 

Document 1      Schedules A – OCRI Global Marketing (Investment Attraction) - $100,00 Capital Request

Document 2      Schedule B – OCRI (Regional Innovation Network) - $250,000 Capital Request

Document 3      Schedule C – OCRI (Ontario Research Commercialization Project) - $100,000 Capital Request

Document 4      Schedule D – OCRI Global Marketing (Cluster Support) - $70,000 Capital Request

 

 

DISPOSITION

 

Upon Council approval of the recommendations contained in this report, Economic Development staff will proceed to formalize a funding agreement with OCRI and monitor their activities.

 

SCHEDULES A – OCRI GLOBAL MARKETING

(INVESTMENT ATTRACTION) - $100,00 CAPITAL REQUEST                                             

 

OCRI Global Marketing (Investment Attraction)                                       $100,000 Capital Request

 

General Background Information:

  • Over the past several years, OCRI has successfully executed investment activity under Foreign Affairs and International Trade’s Community Investment Support Program (CISP). CISP is a program developed to stimulate cooperation between municipal governments and the private sector. Its objective is to enhance the capability and effectiveness of Canadian communities to attract, retain, and expand foreign direct investment. CISP is a cost-shared program, which supports up to 50% of eligible costs for projects that are part of a comprehensive business plan. The program supports activities ranging from improving the “investment readiness” of communities through to larger projects designed to attract, retain and expand foreign direct investment.
  • The program is designed to support the implementation of incremental initiatives by communities; it does not support operational funding, operating projects and staff.
  • Under past CISP activity, OGM has concentrated on establishing global networks, testing various geographic markets, understanding our markets and competition and developing our messaging. One of the key lessons learned has been the fact that Business Development, Partnership Activity and Investment go hand in hand. The CISP projects have contributed significantly to our success. Specific success has included the development of extensive networks in the United States, most notably in Washington DC, the American Southwest and New York/Boston. We have achieved a better understanding of the European market and a significant increase in partnership activity in the United Kingdom. We have achieved a continuing refinement of our messaging and the development of our material in several languages.
  • For the period 1 Apr 08- 31 Dec 08 OGM has applied for $200,000. The adjudication committee will announce its funding decision by the end of March 2008. To achieve the necessary matching for all the federal funds awarded, OGM requires a further $100,000 of funding to be able to complete the CISP program for 2008.  These funds need to be identified in a timely manner, as all CISP activity must be completed by December 31, 2008.
  • Our City Capital funding request is crucial to this CISP program. Failure to secure adequate matching funds will result in defaulting on our CISP program and the return of a minimum of $80,000 of funding to Foreign Affairs.  In addition, future funding will be jeopardized.

It is important to note that the CISP program does not allow for the utilization of salaried staff. Therefore project implementation requires the use of incremental human resources that are not covered by the City’s annual operating grant.

 


OCRI 2008 Capital Budget Request Details

City Capital Request

Other Support

CISP Support

Total
Project

Consulting Fees

60,000

 

 

 

Direct project costs

40,000

 

 

 

 

$100,000

$100,000

$200,000

$400,000

2008 CISP Strategic Objectives:

OGM has been approved by CISP to launch a series of specific projects that build on our developed global relationships, embody the research and experience gained over the last several years and position the Ottawa region to take advantage of specific market opportunities.

 

Our activity for 2008 has a total budget of $400,000 and will focus on the following areas:

 

Expansion and Retention

Last year, Ottawa saw a return to the employment levels experienced before the technology downturn. Initial work was done on developing a business model to identify and assist potential expansion targets. Our annual employment survey completed in Dec 2007 confirmed that our larger firms were again expanding. Contrasting this was increasing concern in many sectors, that the continued strength of the Canadian dollar and the weakening of the US economy would create challenges to continued growth.

 

Our proposed activity under this project is to:

 

United States

The United States remains Ottawa’s greatest market and source of Foreign Direct Investment.  The regions of greatest concentration are California, Washington DC area and the New York / Boston corridor.  Past activity has allowed us to establish an extensive network of contacts in these regions and to close investment leads. Market factors continue to evolve including:

 

Our proposed activity under this CISP project includes:

 

Target events around which to build a program (partners in parenthesis) include:

 

United Kingdom

Europe remains a potential market, but one that is essentially established with minimum potential for strong upside. Investment and trade activity continues to centre on the United Kingdom and certainly the most aggressive region for inward investment into Ottawa is the UK. Past activities in Europe outside the UK have not resulted in significant payback. Recent activities in the broadly defined sector of Homeland Security have generated significant activity and resulted in trade related partnership with the potential for conversion to investment. Under its regional development activity, the UK has created a number of enterprise hubs, centers that incubate both local companies as well as international companies considering inward investment. Ottawa through OCRI is in the process of defining its own Enterprise Hub concept that would include an international component and Ottawa has been successful in attracting early stage US companies to the region.

 

Activity would include:

 

China

Background

 

Investment Attraction Activity

 

Our objective remains to establish Ottawa, China, i.e. Ottawa as the preferred gateway for Chinese companies and institutions into the North American market.

 

Middle East

Our present CISP project has done research around on the Middle Eastern market. The activity in this project will complete the initial market exploration by developing a program around the premier ICT show in the region, GITEX, 19-23 October 2008 Dubai

 

India

Background

 

Investment Attraction Activity

We will continue to monitor the desire of Indian universities to create commercialization ties, particularly in the photonics sector.

 

Chile and Brazil

Past activity has included:

 

The Ontario government has in country consultants in both Sao Paulo and Santiago.

 

Activity under this program will be:









SCHEDULE B – OCRI (REGIONAL INNOVATION NETWORK) –

$250,000 CAPITAL REQUEST                                                                                                       

 

OCRI  (Regional Innovation Network)                                                           $ 250,000 Capital Request

 

General Background Information:

By way of background, Ontario’s Regional Innovation Network (RIN) Program is based on a system of regional networks. These are multi-stakeholder organizations established through funding from the Government of Ontario to promote partnerships among business, academia and local governments to promote innovation.

The merger of the Ottawa Life Science Council into OCRI formalized OCRI as the Regional Innovation Network center for Ottawa in 2007. Under this umbrella, OCRI, along with partners from business, academia, government, research institutions and the community at large expanded efforts to grow Ottawa’s knowledge based economy from life science through to Cleantech and ICT. In 2007, OCRI was able to define programs and services to assist companies across these sectors including the establishment of the Cleantech Initiative, the Ottawa Medical Device (now Ottawa MedTech) Network, and through the development of targeted service offerings to assist start up and emerging companies access critical mentorship, market intelligence and access to capital at critical stages.

Currently, the City of Ottawa provides an operating grant of $250,000.00 to assist in the development and implementation of these programs and services, including the support for 2 FTE and operating processes to ensure program success. This $250,000 was essential to OCRI’s ability to continue to serve the life science community while at the same time enhancing the operational capacity to provide greater service to life sciences, Cleantech and ICT companies within the Ottawa region and launching critical investment and commercialization resources to meet the needs start up and emerging companies in these knowledge based sectors.


Under this funding program, several significant programs have been developed and/or enhanced, over and above the base operations. These included the following:

·         Establishment and implementation of a full service Investment and Commercialization Program for start up and emerging companies in life science, Cleantech and ICT which includes:

·                      Access to mentors

·                      Market Intelligence

·                      Business Advisory Services

·                      Access to Capital

 

·         Launch of the OCRI Business Accelerator

·         Expansion of the Bioproducts, Energy and Environmental Technologies Business Network (Be2BN), now branded the Cleantech Initiative

·         Soft launch of the Ottawa Medical Device Network (now Ottawa MedTech)

In addition, a number of significant initiatives were developed and expanded to ensure broad reach and facilitate business activity, promote local Ottawa companies, and celebrate Ottawa success. These include:

·         Canada’s Top 10 Competition expanded to include Life Science, Cleantech and ICT

·         Ottawa Venture and Technology Summit incorporated significant streams in Cleantech and medical devices

·         Biojobs, a recruitment portal dedicated to serving the life sciences industry in Ottawa and Eastern Ontario was expanded and incorporated into OCRI’s job portal

·         BioNorth expanded to include streams in clean technology and included partnerships with RIN’s across Ontario who brought science and technology experts and companies to Ottawa for the event.

Capital Grant Historical Information:

  • For the period January 2005 to December 31, 2008, the province of Ontario under its Regional Innovation Network (RIN) program entered into a contract with OLSC (now OCRI) to provide a grant not to exceed 50% of $1,400,000 over the three year period of the contract. In 2006, the province provided OLSC \ OCRI with $250,000 in funding under this program. The grant is based upon OCRI providing matching funding.
  • On July 12, 2006, the City of Ottawa approved $250,000 from its Capital budget to support this project
    (ACS2006-PGM-ECO-0004). This grant from the City matched funding received from Ontario in 2006. Deliverables under this agreement are on file with the City.
  • In 2007, the City of Ottawa approved an additional $250,000 from its Capital budget to support this project. Our capital request for 2008 will be used to again provide matching funding to support the final year of Ontario’s funding contract.

 

 

City Capital Request

Province RIN Grant

Total
Project

OCRI 2008 Capital Budget Request

$250,000

$260,847

$510,847

 

This request to the City of Ottawa will enable OCRI to meet the growing demand for services from the Cleantech and Ottawa MedTech Networks, growth of a therapeutics network and better linkages to the research community, and enhance the capacity of the Investment and Commercialization Group to build to grow start up and emerging companies in Ottawa.

 

               

2008 OCRI City of Ottawa Deliverables

for the Regional Innovation Network Program

 

Q1

 

Q2

 

Q3

 

 

Q4

 

 

 

SCHEDULE C – OCRI (ONTARIO RESEARCH COMMERCIALIZATION

PROJECT) - $100,000 CAPITAL REQUEST                                                                                

 

Ontario Research Commercialization Project (ORCP)                                $100,000 Capital Request

 

As part of a request to provide proposals to the Provincial Governments (MRI’s) Ontario research Commercialization Project (ORCP), OCRI has developed an Ottawa response entitled the Regional Innovation Development Program (RIDP.) This is a collaborative initiative to improve “receptor capacity” – to help build the existing technology-based Small and Medium Enterprises (SMEs) and start-ups, to accelerate technology and knowledge transfer, and to create more viable and successful businesses, in order to develop a stronger economic base for growth. 

Four distinct projects are included within the Ottawa RIDP (details can be found below): 

  • Project #1 – Market/Competitive Intelligence Project
  • Project #2 – Business Opportunity Networks
  • Project #3 – Entrepreneur Development
  • Project #4 – Convergence Exploration

This is the second year of funding as part of a 3 year provincial program to fund commercialization activities in Ottawa.  The province is providing direct funding of $1,800,000 over three years.

The City approved $100,000 of capital funding in 2006 and in 2007 to support activity in year one and year two. This money has been used to support the partnership component of the project, given that the Province’s contribution cannot exceed 50% of total cash and in kind expenses.  Therefore the current capital request of $100,000 will be used to further support the partnership component of the project. The cash expenditure budget for the project is summarized below.

 

20/20 Plan Policy #

10, 11, 15, 20, 22

 

 

Project Description

Project Description

The following sections describe each of the projects, as they were initially proposed to MRI, within the ORCP to be completed and how they fit into the Ottawa innovation framework.  In addition, other related programs are briefly shown how they also link into the framework.   

 

Project #1 – Market/Competitive Intelligence Project

 

Framework Element: Information Services

 

The Market/Competitive Intelligence program originally focused on the life sciences and Cleantech industries. After a market assessment and demand from other sectors in Ottawa, the decision was made to provide this service offering to companies across life science, Cleantech and ICT. Instead of an electronic portal for access to web-based queries, and to manage subscription agreements with data management partners, a Manager of Market Intelligence was hired to facilitate the enquiry process and provide additional business analysis and support to companies as required. Additionally, an in-house library has been established at OCRI providing outside members with access to previously downloaded reports which are sectorally focused. Currently, OCRI has subscription agreements with

 

Under the initial contract, access to technical intelligence was be provided by two dedicated and trained staff with proprietary access (valued at $250K/yr.) to the vast electronic libraries of NRC-CISTI (one of the largest of its kind in the world, with about $7.5 million of new acquisitions annually).

 

The program was to initially focus on the creation of a multi-tiered portal for the content (i.e. secured, members-only and administrative partners-only web access) with intelligence resources made available to our partners and members.  NRC-CISTI capacity allows for access to resources within their vast library system on a contract basis. It was determined with our NRC partner that the contract be amended to better serve companies by providing them with customized searches provided by in-house NRC-CISTI staff as opposed to recruiting, training and retaining NRC –CISTI employees on site. Also, NRC-CISTI employee recruitment process can take upwards of one year to complete and there was an urgent need to find a solution suitable to local businesses.

 

Changes to operations have not changed accessibility by partners and members under the terms of the ORCP program. The users of the system are primarily two-fold.  First are the Business Development Officers who are assisting with the development of business and marketing plans for the research spin-out opportunities.  Second are those who are directly involved in the research activities.  That is, the “members” and “partners” are the universities, colleges and hospitals (primarily in the life science sectors) that OCRI engages with in research as part of their other Ontario funding programs, including RIN activities.  This also extends to companies across life science and clean tech where there is a need to better understand the market and positioning prior to entering the market. This “intelligence” information is a critical missing element that will help determine where best to focus an application of research or prototype as it moves from the lab into potential market and product development. 

 

The requests made by the users of the system can easily be tracked and the value of the information assessed by the end user (research or business oriented).  This feedback can be then used to help focus on those specific services that provide more value and help tailor the process to those needs.

 

Implementation:

 

·         This program maintains focus on life science industries and has been expanded to include clean technologies, including clean energy, and ICT. The program is managed by OCRI Investment and Commercialization.

 

·         NRC-CISTI will work with OCRI’s Investment and Commercialization Group and specifically its Manager, Market Intelligence, to deliver Competitive Technical Intelligence (CTI) services on a customized and request by request basis.  Technical intelligence materials that CISTI can provide continue to include patent search results, technical journals and reports, conference proceedings, and similar materials.  Under this partnership, NRC-CISTI support includes a reduced fee for service for access to technical information specialists and in-house business analysts on an as needed basis.

 

·         Business Insights will reduce the subscription rate for unlimited access subscription to Business Insights reports across life science, Cleantech and ICT. Deloitte and PricewaterhouseCoopers will also provide unlimited access to their proprietary market and competitive intelligence research reports, having an approximate value of $20K/yr each ($10K staff “in-kind” and $10K materials).

 

·         Business Mentorship and Entrepreneurship Program (BMEP), administered by MaRS, is part of an Ontario wide program to assist early stage companies. Through BMEP, OCRI will utilize more than $100K in reports for companies from data management companies like Frost and Sullivan, Gartners, Thomson Financial, and others.

 

 

Project #2 – Business Opportunity Networks

 

Framework Element: Business Development

 

Successful commercialization requires interaction among all of the individuals, associations, and potential research opportunities (within universities, colleges and government labs) that support R&D, innovation and commercialization within the region, as well as with partnerships outside the region.  It has been said that exploring for new opportunities, finding alliances, and creating collaboration in this space is a “body contact sport,” meaning that these interactions usually require face-to-face dealings to be most effective.  Often SMEs are reluctant to explore third party IP opportunities or cannot spend their time, money, or resources to explore and identify such alliances.  The SMEs need a team of individuals who are always on the “look out” for them.  As such, these individuals provide a common point of “go to” for the SME that they can use to help search for solutions, opportunities and create alliances.  In essence, this project is like building a tech-transfer capability that represents the SME community in their continual search for opportunities.

 

Briefly, the objective of the Business Opportunity Networks Program is to provide the SME community with a small team of competent “opportunity seekers” (Business Development Officers) with technical, business, and community understanding as well as direct experience in working with the cultural and motivational differences that exist between the SMEs, research labs, and the business community at large.  The team would bring an expanded network through their interface with representatives from the university/college tech-transfer offices and other provincial programs such as OCE and other ORCP funded programs.  With one of their primary focuses being the regular interaction with these external partnership and opportunity sources, the formation of a strengthened opportunities and best practices network would be established further supporting the commercialization of technologies or the strengthening of existing companies.  As part of this initiative, the Ottawa team members would work with their counter parts in other regions (e.g. Waterloo and Toronto) to share potential prospects, best practices, and establish industry-academic linkages between regions to build a greater pan-provincial understanding and create a more integrated service package.

 

As Business Development Officers, these experienced business individuals will first contact the SME senior management and begin building the business case.  As such, individuals will be “field based” and spend the bulk of their time visiting potential clients in their own environment.  Armed with this information, they will be able to populate a database to share amongst other regions.  Then, during the course of their regular business interactions and networking with tech transfer offices and other organizations at investor meetings, innovation workshops, etc., they will work on making valuable connections that can further engage the SME.  These development specialists will also help marshal resources from other RIDP programs (such as using mentor networks, application of market readiness funds, suggesting training courses, etc.) towards helping solve identified needs.

 

In summary, a list of duties to be performed by a Business Development Officer would be to:

Maintain a portfolio of SMEs for which they work on behalf to look for research, business and market opportunities;

·         Collect and distribute relevant data regarding potential opportunities (through common databases, project reports, progress summaries, meetings, etc.);

·         Provide a conduit and linkage to tech-transfer offices in academic and government labs;

·         Provide access and support of RIDP and other commercialization programs (such as OCE, IRAP, etc.) to be delivered to the SME; and,

·         Network, not only amongst themselves to share ideas and best practice implementations, but also to engage in other regional and provincial technology networks and programs.

 

As the foundation of the Business Opportunity Networks, the Business Development Officers are providing that critical “people” connectivity for the SME to the research, business, funding, etc. networks.  They fill the critical roll of providing the skills, time, resources, and cultural understanding to the world “outside” – a gap the SMEs experience as they focus on their day-to-day business to the exclusion of looking outwards to be better receptors of research.

 

Each regional partner in the RIDP (Ottawa, Waterloo, and Toronto) has different implementation needs and would hire Business Development Officers with differing talent and skills reflecting their priorities among the above duties to be filled.  This approach provides the greatest flexibility in program delivery and in achieving success based on the unique characteristics of each region.

 

Implementation:

 

·         Each Business Development Officer will leverage other services within the city and region such as connecting SME’s to the Entrepreneurship Centre or the CI/MI resources.

 

·                     This program complements the existing OCRI Cluster Support Program.  With new Business Development Officers in place, the Clusters (each who have their own network of technology-based SMEs) would now have direct linkages to new research and commercialization opportunities.

 

·                     Provide additional resources to aid the Ottawa Capital Network focus on new Life Sciences deals and opportunities.

 

·                     Includes the hiring of two full-time Business Development Officers (primarily ICT), with complementary business, marketing and technology skills and include additional partnering activities.

 

·                     Working with similar individuals in other organizations (such as the OCE and NRC’s IRAP business development officers), a larger network of technology and funding support can be engaged.

 

·                     It is expected that the Business Development Officers in each of the regions will actively exchange ideas and information, in addition to having regular quarterly group meetings and workshops.  In this way, efficient processes can be developed and cross provincial opportunities created (e.g. industry working with a university in a different region).

 

·                     NOTE:  Business Development Officers for the life sciences industry are already in place and funded through OLSC RIN funding.

 

Project #3 – Entrepreneur Development

 

Framework Element: Entrepreneur & Talent Development; Network Interaction

 

An entrepreneur is an agent of change – he or she recognizes an opportunity and acts upon it.  It is through the development of the entrepreneur as a person that long-term sustainable economical growth of small companies can be achieved.  A successful region is one that develops a supply of highly skilled entrepreneurs who are capable of building successful companies in sufficient numbers to transform the economy of that region.  It has been recognized that, with the proper skills, entrepreneurs can indeed be “made”, and need not be “born”.

 

There is no doubt that there are many things for entrepreneurs to learn as an SME grows in its early stages, not only internal corporate activities but also engaging with the community and through knowledge transfer.  This project is aimed at helping them focus on their needs and developing essential skills.  Individual business mentoring is one important way to do this, but there are significant advantages in group activities and shared experiences.  Not only do these activities expose entrepreneurs to new opportunities, but also they enable the entrepreneurs to build their own networks.  The Entrepreneur Development program is directly aimed at filling the skills gap experienced by the entrepreneur and opening them up to networks that expand their interaction with researchers (and thus aiding to bridge the culture gap) and business opportunities.

 

There are several forums that provide development opportunities and knowledge-transfer for entrepreneurs:

·         “Boot-camps” at which individuals (often with only technology experience) learn the fundamentals of running a technology-based SME.

·         Business training and courses offered at local universities and colleges.

·         Venture Fairs at which SMEs present their business proposition to investors.

·         Conferences that provide a showcase of successes as well as providing the opportunity to create ongoing strategy for developing and growing SMEs within a region.

·         Educational initiatives that create a culture of entrepreneurship within students, and provide them with the necessary skills to both start and build their own businesses.

·         Workshops and networking events that bring together those in the community engaged in innovation and commercialization directly with the SMEs.

·         A host of existing formal and informal networks and clusters within regions (e.g. wireless network, software network, photonics network, Bioproducts, Energy and Environmental Technologies Business Network, Convergent Medical and Assistive Technology (CMAT) network, etc.) are critical to the exchange of information, the transfer of knowledge, and aiding the convergence of technologies.

 

Implementation:

 

·                     Led and managed by Ottawa RIDP Program Manager with support from their team at the Entrepreneurship Centre.

 

·                     OCRI has a semi-formal program of workshops, boot camps, seminars, and a VC fair that it would build upon to form a more regular and consistent development program; the OLSC is active through their programs such as Canada’s Top 10 life Sciences Company program, the BioEntrepreneurs series and Professional Development series as well as specific series directed for the Business Opportunity Network Constituents.  Under the merger, the two efforts will be efficiently coordinated as applicable.

 

·                     Also, the new OCRI will align with local university schools of business and consultants that supply training courses for entrepreneurs and students to support access to those programs

 

·                     Engage expertise and support from OCE, the Ottawa Angel Alliance and other Angel groups, local venture capital firms, the Ottawa cluster groups (e.g. Wireless, Software, Photonics, Semiconductor, Security, Bioproducts, Energy and Environmental Technologies, and Medical and Assistive Technologies).

 

·                     OCRI’s entrepreneur training workshops (E2) are planned for January, May and September of each year.  The VC fair is scheduled for the fall of each year.

 

·                     Planning sessions are being scheduled for April and October each year.  At these sessions, the RIDP staff from Ottawa will prepare summaries of the previous activities, adjust program delivery and plan for the next 6 months.  It is anticipated that these meetings will involve other RIDP regions including Toronto and Waterloo so that experiences and best practices can be shared.

 

Project #4 – Convergence Exploration

 

Framework Element: Business Development

 

In the early stages, the RIDP concept was developed with the Information and Communications Technology (ICT) sector as its focus – the major technology strength of the Ottawa region.  The three major regions (Ottawa, Waterloo and Toronto) along the Ontario technology corridor cover about 85% of the province’s ICT industrial base and leading academic institutions.  Also, ICT are pervasive and enabling technologies that accelerate the development of many other sectors as they also continue to grow.

 

This enabling approach is not unique to the ICT industry, but applies to the major industry sectors (manufacturing, life sciences, aerospace, etc.).  OCRI Life Sciences has also been developing a similar innovation framework for the life sciences industry.  The merging of OCRI and OLSC has provided an excellent opportunity for a common innovation framework (as described above).  At the same time, it is recognized that time-to-market and approach-to-market issues are different for each sector within the respective industries (i.e. software, semiconductors, drug discovery, bio medical devices and bio products are all unique), the RIDP implementation can be used for any of them and in support of cross-sector initiatives.

 

The OCRI/OLSC merger initiates a look at ICT and life sciences industry innovation and commercialization opportunities (e.g. bioinformatics).  This Convergence Exploration program is set to also explore linkages with other sectors, including automotive, aerospace, energy, manufacturing, financial, etc.  Canada faces a major innovation and commercialization gap by not having efforts focused on opportunities that link together sectors.  This value-add approach that focuses on these types of projects will help to uniquely position and link several economic sectors important to Ontario.

 

Including a Convergence Exploration program is critical in support of SMEs in order to take advantage of:

·         The growing trend in R&D “convergence” that integrates often diverse technologies.

·         Engaging clusters to create a critical mass exploration of technology and commercialization opportunities that might not otherwise exist.

·         Providing complementary skills in the development of new, and often complex, technology and market opportunities.

·         Connecting the right people from the right organizations regardless of sector or geography

·         Driving to the requirement to be an active player in the rapidly developing global economy.

 

This program is a link into other Ontario innovation and commercialization programs within MRI (that include the ORCP, OCE, MaRS, Ontario Research Funds, and the Regional Innovation Networks (RINs)) that address a variety of technology and industry sectors.

 

Implementation:

 

·                     The Ottawa RIDP (OCRI) is also linked to the Waterloo (Communitech) and Toronto (ISCM and MaRS) equivalents.  As part of the provincial-wide initiative, coordination with their programs will be implemented.

 

·                     Because of the importance of the initiative, the President of each of the organizations will be the individual lead, with support from their senior staff and the RIDP Business Development Officers.

 

·                     Regular meetings between them will be established to share ideas and look for multi-sector opportunities.

 

 

SCHEDULE D – OCRI GLOBAL MARKETING (CLUSTER SUPPORT) –

$70,000 CAPITAL REQUEST                                                                                                         

 

OCRI Global Marketing (Cluster Support)                                                   $70,000 Capital Request

 

General Background Information:

  • Within the Ottawa 20/20 plan, the region was committed to a cluster-based economic development policy
  • OCRI developed a cluster support model that would support the growth of clusters within the region while minimizing the demand for new funds, making maximum utilization of existing resources in the region and freeing private sector resources to concentrate on strategic initiatives.
  • In 2006, a two year pilot project was launched to prove the validity of the model to end in March 2008.
  • The pilot project was successful in creating a logistic support system that is now supporting 8 clusters through a set of productivity tools within the Global Marketing section of OCRI.
  • The Business Development function within OGM is now fully integrated into the clusters
  • The clusters have defined a series of strategic initiatives that will assist in the strengthening and growth of the Ottawa economy. These include:
    • Software: High School Pilot Technology  Centre Project
    • Security: Federal Industrial Benefits Capture Initiative
    • Contact Centres: Industry recognition campaign
    • Semiconductor: Joint Targeted Marketing Initiative
  • Funds to support these initiatives are available from both government programs and industry. This requires coordination of the partners, preparation of funding documentation and partnership agreements and monitoring and assistance during execution.

 

High School Pilot Technology Centre Project

Background

·         Registration in Science and Technology programs in Ottawa post secondary institutions reached record lows in school year 2007-2008

·         High School students demonstrate an adversity to enter the requisite courses for entry to post secondary Science and Technology courses.

·         Ottawa companies are encountering difficulty in recruiting young talent

·         Secondary schools have difficulty in maintaining technology infrastructure and appropriately trained teachers

·         OCRI, in conjunction with the Software Cluster and the Earl Of March High School ran a highly successful series of events in 2007 that were well received by students

·         The Ontario Centres of Excellence are highly supportive of the initiative and the Ministry of Colleges Training and Universities have expressed their willingness to partner

·         Carleton University, the University of Ottawa and Algonquin College are participating in project definition

·         Corporations that are participating in project definition are IBM, Cisco, RIM, Dell and Macadamian Technologies

 

Objectives

·         Establish a pilot to demonstrate how a private sector supported regional technology centre could be used to deliver approved high school curricula in technology on a sustainable basis

·         Establish preferential entry to post secondary institutions for graduates of technology courses in high school

·         Expand existing coop and summer work programs in high school to integrate with the technology curriculum

·          Transfer the program to the Ministry of Education for long term funding

 

Work program

·         Identify an existing private sector technology centre that could be made available to the project for one day a week

·         With a selected group of high schools, implement credit programs for the school year 2008-2009

·         Implement a work experience program

 

Federal Industrial Benefits Capture Initiative

 

Background

 

Over the past five years, the Canadian SME sector has been lobbying the Federal government to open up its procurement system to facilitate business capture by SME’s. For the most part, this has been a frustrating experience. A potentially much more rewarding opportunity exists that involves not a SME to government transaction, but a business to business transaction.   

 

The Canadian Government, and more particularly the Department of National Defence, is embarking on a series of major capital programs. In the majority of these programs, the equipment cannot be supplied from the Canadian industrial base and must be supplied by a foreign supplier. To maximize the benefit of these programs to Canadian industry, the procurement contracts contain obligations on the prime contractor to identify and place contracts with Canadian industry. These industrial benefits can either be direct, ie goods and services produced in Canada related to the prime contract, or indirect benefits which are goods and services procured by the prime contractor and designated subcontractors not related to the capital program.

 

Although Canada had a number of capital programs throughout the last decades of the past century, this level of activity has not occurred over the past several years. The result is a general lack of awareness amongst Canadian industry of the Industrial Offset opportunity. Furthermore, increasing emphasis is being placed by the government on indirect benefits and knowledge based industries. The Ottawa industrial base is uniquely positioned to take advantage of this opportunity.

 

Challenges to successful revenue capture by Canadian industry include:

·         Insufficient knowledge of the Canadian industrial offset program and its operation;

·         Limited knowledge of the specific programs and their offset obligations:

·         The difficulty of identifying the various operating units of primes and their subs and the contacts within those units;

·         Limited knowledge on how to execute an effective business development function to capture contracts, and

·         The lack of any effective mechanism to link companies with offset obligations to companies looking for opportunities.

 

Objectives

  • Build awareness among Ottawa’s exporting SME’s of the opportunities within the Federal Industrial Offset program and provide education on techniques to successfully capture business
  • Build a database of existing industrial offset obligations
  • Build a database of appropriate contacts among prior contractors and their first and second tier suppliers
  • Execute pilot visits to identified high probability contractors
  • Capture revenue for Ottawa firms

 

Work plan

The project would have four components:

1.       Awareness Building: A series of two hour briefings would be given to industry, either by cluster or in general forums to make industry aware of the opportunities. This would be followed by a series of more interactive one day seminars on effective business development strategies. The briefings would be delivered by industry experts and contain a talk by at least one successful SME. The seminars will be led by an industry expert and again include a successful SME and a Prime contractor.

2.       Research: A database will be developed of the present programs and their obligations. This will include the Prime contractor and the contact for offsets. For each contract this data will be extended to subcontractors for which offsets can be claimed. This research will be progressively extended to the operating locations or specific divisions of all contractors being tracked.

3.       Contractor Visit Program: OCRI Global Marketing (OGM), working with industry partners, will begin the identification of contractors most likely to yield offset opportunities. A series of site visits or visits to Ottawa will then be coordinated for small group visits between Ottawa SME’s and the identified contractor. This activity will extend beyond the principal operating location of the contractor working on the contract into other divisions and operating locations. This activity will be executed in partnership with individual clusters, prime contractors, International Trade’s in country staff and experts in the Ottawa region. This program will be executed through OGM’s Business Development staff as a pilot in 2008 and then fully integrated into its 2009 Business Plan. 

4.       Matching Service: Using its existing productivity management tools, OGM will build the capacity to link members of the Ottawa Knowledge Based Industry to offset opportunities.

 

Contact Centre Industry Recognition Program

Background

·         Ottawa has seen a significant growth in its contact centre business and they are now major employers in the region

·         Ottawa’s industry is strongest in the financial sector and technical support

·         The jobs are well paying and provide excellent career opportunities

·         The industry suffers from a major image problem, as being low paying and dead end

·         The industry has increasing recruiting challenges, both from poor image amongst potential employee base and among influencers to young people

·         The industry has established a task force to address the situation

·         A survey has been done to obtain base data on the industry

·         Under a separate project, a long term strategy for growth is being developed

 

 

 

Objectives

  • Create awareness amongst the general public of the positive nature of the industry, its growth potential and its career benefits
  • Create awareness amongst the pool of potential employees of the nature of the industry in Ottawa and its potential as a career
  • Create awareness amongst influencers of high school students of the industry and its potential as a career.
  • Demonstrate to potential investors from outside the region that Ottawa supports the industry and is strengthening the regional infrastructure to support the industry

 

Work plan

  • Finalize the campaign parameters and industry funding, Apr-Jun 08
  • Create the campaign, July-Aug 08
  • Execute Phase 1 of the campaign, Sep-Dec 08
  • Evaluate the results of Phase 1, Jan-Mar 09

 

Semiconductor Partnering Initiative

Background

  • OGM recently worked with the Federal government on a highly successful Wireless mission to the WiMax Forum in Taiwan. Four of the eight companies chosen for participation were Ottawa based.
  • Ottawa is known for its niche technologies, unfortunately by their nature they must be integrated into higher order systems. In that process, the value of our technologies is often overlooked
  • Throughout the world, auctions are occurring for new telecommunications spectrum, creating a considerable demand for WiMax products
  • SiGe identified their difficulty in creating senior management recognition of their solutions during the Taiwan mission. Too often decisions, on their product are made by lower level component designers in the company or its suppliers without reference to benefits at higher levels of integration. Taiwan is the centre for the higher order products.
  • SiGe is willing to lead an industry group to address this challenge through a specific focus on the WiMax opportunity and are preparing a White Paper to circulate amongst other Ottawa companies in a similar situation
  • The challenge is creating the marketing mass to present several aspects of a solution to a customer rather than the narrow focus presented by a single company and its products
  • If this initiative proves successful, it will serve as a template for similar coordinated industry marketing efforts

 

Objectives

  • Establish a tight group of companies to develop a cooperative marketing and sales approach to companies in Taiwan.
  • Increase the success rate of these companies in the market
  • Establish the case for cooperative marketing to meet the challenges of the position of our companies in the global supply chain

 

Work Plan

·         Completion of the White Paper by 1 Apr

·         Definition of the group of companies and development of a cooperative strategy by 1 June 08

·         Pilot implementation of the activity through to Dec 08.

·         Evaluation of the results Jan-Mar 09.

 

Funding

We are seeking 70K in funding for the period 1 Apr 08- 31 Mar 09. This funding would be to provide one full time junior program management individual and one half time clerical individual to support the administration and execution of the above projects.

 

Expected leverage of direct project costs and in kind support is:

 

It is therefore expected that the City investment of $70K would leverage $425K in other short term project funding.

 


OCRI 2008 Capital Budget Request Details

City Capital Request

Other Support

Total
Project

Consulting Fees

70,000

 

70,000

Other Direct / In Kind project costs

-

425,000

425,000

 

$70,000

$425,000

$495,000

 

2008 Cluster Capital Ask

 

 

High School Pilot Technology Project

 

Costs

 

 

Facility

Company mentoring

Sponsor related tests

In-kind (18,500)

            (15,000)

            (5,000)

0

Program Administrator

 

$22,500

Teachers (OCRI tech coaches)

$200-$300 per day x 2 teachers

$12,000

Teacher Training- train 3

$200 per day x 3 teachers x 10 days

$6,000

Curriculum Development (one time)

In-kind (10,000)

 0

Consumables

 

$1,000

Transportation of students

$150 x 20 day

$3,000

Certification Tests

Based on 30 students @150 per certification test

3 tests x $150

$13,500

Approx Total per Semester Cash

 

$57,500

 

 For two semesters, $115,000 direct                 $77,000 in kind

 

Revenue

 

Cash

 

 

 

Federal Industrial Benefits Capture Initiative

 

Costs

Awareness Building

 

Research

 

Contractor Visits

 

 

 

Company Matching

 

 

 

Contact Centre Industry Recognition Program

 

Campaign Strategy Development          $10k in kind

 

Material Development               $15K  $10K in kind $5K industry contribution

Printing, reproduction                            $20K industry contribution

 

Commercial Placement costs                 $25K industry contribution

 

In school activity                                   $5K    in kind

 

 

Targeted Marketing Initiative

 

Campaign development, in country meetings, in country logistics   $80 K  Federal

 

Company definition and coordination                                         $20K in kind

 

Marketing strategy development                                                            $30K in kind

 

Travel                                                                                                   $50K in kind