With the onset of recession at the forefront of small business owners' minds this year, committing to an innovation project may not feature as a priority for many. However, companies would be wise not to underestimate the economic value attached to innovation and, specifically, the opportunities to take advantage of expertise from within the higher education sector.
Statistics published last summer show that the higher education sector's contribution to the economy reached record levels for the year 2006-07. These latest figures, drawn from the government's annual higher education business and community interaction (HE-BCI) survey, reported a total income of £2,641m generated by HEIs; an increase of 17% on those of the previous year. This underlines the increasingly compelling case innovation through cross-sector collaboration.
The UK has a successful track record for innovative practice, particularly in terms of its scientific research and a number of highly competitive business sectors such as aerospace, biosciences and the creative industries.
However, opportunities are not limited by sector: the Knowledge Transfer Partnerships (KTP) programme, for example, works with companies from across a broad range of sectors, from IT and publishing to construction and retail. Further, innovation projects can represent a range of business functions; far more than investment-led R&D, with which it is traditionally associated.
A current partnership between The Seafood Restaurant and the University of Brighton for example, has assisted in Rick Stein's range of handmade preserves and chutneys being stocked in top-end department store Selfridges.
Stein chose to draw on the expert knowledge offered by the University of Brighton's School of Service Management, on a two-year retail and merchandising project to strategically drive the retail offer forward.
Recent retail marketing graduate and KTP associate Filip Jicinsky works closely with the management team in Padstow and regularly liaises with his academic supervisors to implement the agreed project plan.
Since the project began in 2007, Filip has worked on relaunching the online shop, improving logistics, sourcing new products and packaging and working with the marketing manager on the re-design of own label products.
"The preserves and chutneys have always been popular but the packaging didn't do justice to its contents," he said. "In line with the retail strategy, they wanted to create a new and more consistent look for the range, which would reflect its quality and emphasise the brand."
Furthermore, it is estimated that following the completion of the Knowledge Transfer Partnership early next year, the company will be on track to have generated a significant additional net profit and cost savings within only three years of implementation.
Rick Stein said: "We have just completed the first year of our two-year KTP focusing on our retail business in partnership with the University of Brighton. What impresses me about the KTP scheme, compared to a traditional graduate recruitment scheme, is that not only do you benefit from the advice and knowledge of the academic partners, you also have the physical and day-to-day presence of the associate in the business to make things happen.
"We have benefited immensely by Filip undertaking projects that normally wouldn't have happened due to pressure on time. This has yielded considerable commercial advantages to the business in terms of enhanced revenue, increased efficiency and lower costs. I fully endorse the KTP scheme and its benefit to business."
Dr Debbie Buckley-Golder is programme director for Knowledge Transfer Partnerships. For further information visit www.ktponline.org.uk [1], call 0870 190 2829 or email companies@ktponline.org.uk [2]