Academia’s vital role in fostering entrepreneurs
Towards the end of last year I had the idea of bringing all the higher and further education institutions in Wales together to share their experiences of working with industry, developing entrepreneurial students and supporting graduate businesses.
And earlier this week, the BeTheSpark movement, set up to develop greater entrepreneurship in Wales, brought together over 120 participants from universities and colleges who gave more than 50 presentations on the impact they are having on the Welsh economy.
Both academics and policy-makers are increasingly appreciating that knowledge generated from universities is a key contributor to national and regional competitiveness.
As a result, universities have become more engaged in using their knowledge to support economic and entrepreneurial development rather than focusing their mission exclusively on teaching and research.
These entrepreneurial activities have led policy-makers to portray universities as important actors in regional economies that play a vital economic development role by establishing programmes and facilitating networks to support the exploitation of the knowledge generated.
It wasn’t always this way – the links of universities with their regional economies have evolved during the past two decades from a simple process of knowledge transfer through mechanisms such as patent licensing to more complex channels of knowledge exchange.
While universities have tended to integrate economic activities that are directly relevant to teaching and research, they are now becoming increasingly engaged with various types of partners at local, regional, national and international levels.
In today’s knowledge-based economy, the need to foster potential successful entrepreneurs from a university’s graduate population comes from evidence that graduates have abilities and skills that are increasingly needed, particularly in high-technology businesses.
There is also evidence that more graduates are already entering small business, either as employees or as founders, and that small business management education and training is a factor influencing the success rate of such businesses.
More importantly, universities are directly supporting the creation of new firms. As we know, entrepreneurs create jobs, are the source of innovation and new ideas, provide the impetus for the growth of new sectors, increase competition within the market and, through ensuring opportunities in deprived regions, help reduce social exclusion.
Given this, there are many reasons why universities should play a more active role in the stimulation of entrepreneurship. These include fostering greater levels of enterprise in young people, preparing graduates for employment within SMEs, responding to the potential for graduates to become successful in their own enterprises, and contributing to the capacity of small enterprises to survive, develop and grow.
Here in Wales there are some excellent examples of higher and further education institutions developing greater entrepreneurial opportunities and helping businesses become more competitive and develop new opportunities.
At the University of South Wales, the skill needs of the cyber security industry have started to be met through the creation of the National Cyber Security Academy at its Newport City Campus.
In north Wales, Bangor University is establishing Menai Science Park on Anglesey to provide flexible buildings with space that grows with the company and a dedicated business development manager on site to create tailor-made support packages to ensure companies receive the support and contacts to help them grow.
And Cardiff University has established Creative Cardiff, a city-wide creative network for individuals, organisations and companies in the creative economy and which currently has over 2,000 members.
In terms of helping students start their own businesses, Aberystwyth University is giving students the opportunity to fulfil their entrepreneurial dreams through the InvEnterPrize competition, which offers up to £10,000 to the winning individual or team to invest in equipment, facilities or professional services to turn their invention or start-up idea into reality.
On a similar but smaller scale, Gower College has created the Swansea Seed Fund, which helps 16 to 25-year-olds start a new business by awarding them a grant of up to £500.
Bridgend College has established TestTown Bridgend, a pop-up youth enterprise market in the town centre giving young entrepreneurs the opportunity to sell and showcase their products and services.
Therefore, the first-ever HE-FE Entrepreneurship Forum this week has shown that rather than being complacent about entrepreneurship and building links with industry, universities and colleges are being proactive in creating a more enterprising Welsh economy.
However, we need to ensure that academia continues to work with government, industry, risk capital and entrepreneurs to maximise opportunities for graduates who want to start their own businesses.