1. Growing Regional Innovation-Based Economies: The KansasOpportunity InnovationNetwork NADO Annual Training ConferenceOctober 8, 2011

2. Innovation is a Contact Sporthttp://www.canoeicf.com/icf/Aboutoursport/Canoe-Polo/More-on-Canoe-Polo/Introduction-Continued.html 3. How can rural America compete?Public Domain 4. The Rural Economic Development Portfolio 5. How can rural America compete?Public Domain http://minimediaguy.org/2007/02/21/the-amish-approach-to-new-media/ 6. Driving Economic Objective Enhance the global competitiveness of ruraltechnology-based businesses 7. KOIN Objective Generate the core benefits of industry clusters inareas where critical innovation resources are sparse. 8. KOIN Strategy Create proactive, open collaboration networks, thatgenerate competitive advantage through: Facilitating connections that drive successfulpartnerships Identifying and exploiting opportunities 9. Discussion Outline Deep Collaboration Between an EconomicDevelopment District and a University Center: Merging of Competencies and Perspectives A Pilot Endeavor KOIN: Adding to the Rural Development EconomicDevelopment Portfolio 10. A migration to a complementaryrelationshipAMITechDevelopmentInnovation-basedRegional EDRegional NCRPCDevelopment 11. AMI: Who We Are Mission: to advance technologies, people, andcompanies through collaborative engineering andbusiness partnerships. Clients: Startups, small companies, largecorporations, and community partners 12. Who Uses AMI Services? AMI has completed more than 2,500 projects nationwide with more than 500 different companies in the last 15 years. 13. AMI is an Early Stage TechnologyDevelopment agent for researchers,entrepreneurs, and existing businesses. Technology Product & Process ResearchDevelopmentDevelopmentCommercializationInnovation:Successful Market EntryESTD Initial (Early Stage Technology Development) Product and Basic Concept/ ProcessMarketResearch InventionDevelopmentEntry Invention: Protectable Promising Idea AMI Focus 14. AMI Core Competencies CustomProduct Equipment andAdvancedBioprocessing/ Development & ProcessDesignChemicalCommercializationDevelopmentVerificationEngineering 15. AMIs Professional Consulting Staff 13 full-time experiencedtechnical/businessprofessionals 9 engineers: Mechanical, Chemical, and Industrial 1 Product designer 1 Product development specialist 1 Commercialization/business planning professional 1 Economic analyst 16. The AMI Internship Experience A Hands-onProgram Since 1995 more than 450students have interned atAMI Modeled after the proventeaching hospitalmentoring approach Students have been from allthe manufacturing-relatedengineering disciplines andschool of business Experience focus is ondeveloping: Technical skills Business perspective Communications skills Professionalism 17. AMI TBED Goal: Increase ImpactCommunity: Regional Innovation/CollaborationCompany: Strategic Competitive AdvantageProject: Product, Process,Technology Development Development TechnologyIndustryProcessExpertiseExpertise Expertise 18. The Relationship Enabler: The EDA U/C Program UC 1 UC 2UC 32005 2008 2011 19. UC1: Bridging the Gap Between NewTechnologies and Commercialization Develop new productsESTD Agent Develop new processes and technologies Market Need Develop the means to bring products tomarket more rapidly Develop the means to produce productsTechnologicalFeasibility Business Viabilitymore efficiently. TechnologyProduct & Process ResearchDevelopmentDevelopment Commercialization 20. Integrated Business and TechnologyDevelopment Services 21. Kansas LivestockFoundationTEXASAMI Phosphorus Recovery AMANA FARMSTechnology Development TCFA 22. Questions AMI Asked at the end of UC1: How can AMI: help more Kansas companies systematically connect to andaccelerate top-line growth opportunities? help companies connect to required elements for growthregardless of location? Source of Ideas/Technologies Capital Infrastructure Expertise Workforce facilitate greater connectedness of Kansas companies to identifyand pursue new growth opportunities? impact more than one company at a time? 23. UC2: Accelerating Innovation throughCollaborative Partnerships and Networks UC 1UC 2UC 3200520082011 24. On a similar butparallel path in NorthCentral KansasInitial Stage Motivation 25. Population vs. Critical Mass 26. Total Population in Region Riley Saline Geary Lyon Pottawatomie Dickinson Ellsworth Wabaunsee Ottawa Clay Cloud Morris Mitchell Marshall Chase Lincoln Republic Washington Jewell1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000 2010 27. Issues Facing Rural Locations Ideas BusinessFinanceBusiness / Services Community NeedsInfrastructure Workforce 28. Strategic ThinkingHow doWhat arewe do it? our goals?Governance ResponsibilityGenerativeWho are we? 29. NCK RBDTC RegionHome Location of IndividualsEmployed by Businesses in NCK Region 30. NCRPC 2005 CEDS UC Integration 31. Initial Regional Pilot Project Origins Questions / Requests posed of AMI What business clusters are operating in NCK? Which business sectors are growing and which business sectors are fading? What linkages exist between the various business sectors present? Is there a way to illustrate the data in map form that makes it easier for local leadership to better understand the regional economy? 32. Motivation Cooperation comes when it is in the bestinterests of all those involved.Collaborating is ultimately about relationships, andrelationships do not thrive based on a rationalcalculus of costs and benefits but rather because ofgenuine caring and mutual vulnerability. Peter Senge, The Necessary Revolution 33. Underlying AssumptionsBasis of IBED Strategy Driving Questions Innovation enables sustainingHow can we best assist Kansasglobal competitiveness.companies to increase innovation capacity? There are key elements requiredWhat can we do to level the playingfor successful tech ventures.field for tech ventures? Technology-based companies How can we best help ruralshould not be location limited.communities to grow tech-based businesses? Blue ocean opportunities exist How can we bring resourceswhere boundaries are spanned.together to exploit blue ocean opportunities ? Successful entrepreneurs are not How can we facilitate greaternecessarily smarterjust betterconnectedness to new growthconnected. opportunities? 34. North Central KansasRegional Industry ClusterAnalysis and InnovationNetworking Project(A Core Component of AMIs UC2 Grant) 35. Rural Development is a Wicked ProblemLinear Method Dont understand theDesigner/subject 1problem until haveDesigner/subject 2developed a solutionProblem Gather Data Have no stopping rule Analyze Data Solutions not right-or-wrong,but better-or-worse Cant learn about the Formulate Solutionproblem without tryingsolutions likely to spawnImplement Solutionnew problemsSolution Time Unique and novel Symptom not the problem Social complexity people! 36. What is a region?Eco Dev CommunityNation 5%Multiple States5% State0% Multi-city across5% Multi-city within5%Multiple Counties 20% County Limits50%City Limits10%0% 20% 40% 60% 37. County-Centric View of Kansas 38. Banks(Showing banks with HQ in KS) 39. What is a region?Eco Dev CommunityBanks BusinessCommunityNation 5%23% 0%Multiple States5%14% 24% State0%9%12% Multi-city across5%14%14% Multi-city within5% 5% 1%Multiple Counties 20%59% 23% County Limits 50% 0%3%City Limits10% 0%0%0% 20% 40% 60% 0%50% 100% 0% 20% 40% 40. Regional Analysis - Interdependencies Workflow Showswherepeople inthe regionworkthrough theworld 41. LQ Bursts as a Measure of Region Clusters 42. Landscape PerspectiveSingle BusinessEmployees 43. Regional Analysis Where to Start? Focus on tradedindustries What do we: Preserve ? Extend ? Combine ? Assess innovationreadiness Need to redefineclusters in ruralregions Visualization canreshape thediscussionAMI.NCRPC.ORG 44. What does Kansas look like? 45. What strengths are there in KS?The mean or the sum? 46. What does this mean? Every region is unique Every region has similarities Uniqueness and similarities both createopportunities Next question How can we explore these opportunities and decide on the best opportunities to pursue Answer By understanding the region, the interdependences and innovation capabilities 47. Access to Business Detail 48. Mapping Potential IndustryMapping Social Connections Connections 49. Building Connectedness to Business OpportunitiesBased on input from our partners and clients, a viableconnectedness solution must: Weave peer to peer business development opportunity networks Focus on clustering need and competencies, not just industries Connect to global market development opportunities/infrastructure Focus entrepreneurship on traded industries (wealth generators) Level competitive playing field (urban, global) with hub and nodeapproach vs. traditional clusters Create hard-to-copy regional competitiveness Attract/retain skilled people Engage regional wealth and investment capital 50. KARDO Kansas Association of Regional DevelopmentOrganizations Founded in 2008 Founding members Economic development districts (7) University centers (2) Goals Shared experience and talents Cooperative and collaborative ventures 51. UC3: Kansas Opportunity Innovation Network :Rethinking What Critical Mass Means UC 1 UC 2UC 32005 2008 2011 52. Leverage AMIs integratedtechnology/businessdevelopment competencies Profile innovation capabilitiesand needs of regions and localcompanies Scout new global opportunitiesKOIN will create an environment Actively weave networks ofthat transcends geographictechnology providers, expertiseisolation, discovers new markets, and capitalinnovates openly and fosters Span boundaries to build hard-global competitiveness to be at to-replicate regional advantagethe intersection of great ideasand new opportunities.It is all about identifying and processing new business opportunities. 53. KOIN spans Economic Development Strategies Spur new businessIntermediary Innovation Improve business competitiveness Market Need Vet opportunities Foster open innovation Develop and leverage networksTechnologicalFeasibilityBusinessViabilityStart OrganicRegionalNewIncubate Recruit Growth Innovation 54. The Rural Economic Development Portfolio 55. The Networked Ecosystem Approach Relationship Focused Generates benefits of clustersw/o the critical mass of clusters Volume of opportunities Density of expertise Diversity of interactions Proximity to markets Challenges Requires a strong and deep information network 56. KOIN Services/Tools Under Development Planning Assistance Mapping & Analysis Service and Tools Asset Mapping Tools Business and Innovation Profiling Opportunity Scouting Networking Business Development Assistance 57. Business Profiling/SupplyKTEC Technology Business Profiling and Chain Network DevelopmentCluster StrategyInnovation Networking Partner: KDOCDevelopment Partner: North CentralPartner: KTEC Regional PlanningCommissionRegional ProjectsEnable Learning byDoing ApproachRegional Asset Mapping Regional Manufacturing Wind Supply Chain ID and Kansas Army AmmunitionPartner: Great PlainsPark/Incubator IBED Strategy Pre-profiling Assessment Plant BusinessDevelopment Inc. and Business Development Partner: South Central Redevelopment Partner: Harvey County Kansas Economic Partner: Great Plains Economic Development Development DistrictDevelopment Authority Council 58. Innovation ProfilesAiming for adiverse ecosystem Invena Corporation There is noTechnical 7 Inovation 6 7one way to 6 5 4 iSi Environmental Servicescontribute to4 3 3 2 Central Plains Steel Co.innovation 2 1 1 Miniature Plastic Molding LLC 0 0 0 CECO, Inc 1 1 2 3Customer 4 Business 5CenteredDriven Design7 Decisions 59. Connecting Through Competencies Business Profiles/Clusters not Based on Final Product/ServiceTechnical BusinessUserCapabilitiesExpertise Understanding Repeatable R & DReady Access to Programmatic and/or highestmarkets and capital,system for gathering First Tier quality productioncapable of servingand using new user capabilitiesnew markets information Capable of either Competent using Collects existing high production orstandard business customer data to Second Tier high precisionmethods and serving occasionally productionexisting market improves offerings Struggles withStruggles with Assumes customer production, hangs onforecasting and Third Tieractions are random to outdated resource or unchanging technologiesmanagement 60. Connectedness - Mapping Industry ConnectionsUsing SNA Methods 61. Network Weaving: Knitting Connectedness Most networks arefragmented unlessdeliberatelydeveloped Thicker networks helpus learn faster, spotopportunities faster,align resources faster,and act faster. TheyScattered Fragments Hub and Spoke Networkaccelerate innovation. Regional assetsconnected in newopen innovationnetworks will expandopportunitiesCore Periphery Network Multi-Hub Small World Network 62. AMI Wind IndustryManufacturing SupplyChain Initiative Wind FarmSupply ChainsAdditional Company14 County Region Pre-Assessment Project Full Profiles 63. Wind Farm C&L Supply Chain DevelopmentGoal: Increase local labor content of regionalwind farm construction projects Provide wind farm developers andcontractors with qualified localsuppliers Proposed to adapt GLWN mfg. supplychain concepts to wind farm supplychain Education Capability profiling Business development networking Partnered with KS Dept. of Commerceto provide initial education workshop Green jobs funding Seeking funding to develop the balanceof the wind farm supply chain services 64. The KLPs OpportunityDevelopment Network Leverages regional assets Natural/man-made Public/private Targeted business development KS Building global connections LogisticsPark Wrapped innovation/growthservices Team-based approach Strategic partnering inside andoutside region Partners not geography limited 65. The KLP Team Secures Second Wind Company A proven rural development regional approach County population: 33,700 (Harvey) Largest community: Newton 17,000 Invested over $15M to develop park to date Received EDA infrastructure investment New Millennium: 350 jobs, $40M investment 66. South Central Kansas Rural Innovation AcceleratorRural Business Enterprise GrantGoal: Grow a renewing stream of next generation regional goods producers Evaluates feasibility of manufacturing incubator serving nine rural counties Identifies business and technology needs of small emerging mfgers Support established manufacturers skunk work development projects Develops plans to deliver sustainable incubation services Assesses the regions innovation readiness (ecosystem assessment) Compliments region attraction/expansion efforts with top-line growth Synergizes organization missions, regional assets, and investments 67. Great Plains Industrial ParkDevelopment Collaboratively develop a threeyear strategic marketing plan Virtually extend market researchand business developmentfunctions of staff Build networks to accelerate thesearch for opportunities Build recruiting team to respondto prospect opportunities Explore feasibility of non-traditional strategies to addressparks previous mission Facilitate creative reuse thinking Kansas Armythrough visualizations Ammunition Plant -Parsons, KS 68. KOINs Objective:Overcome Critical Mass Challengeswith Critical Connection Strategies 69. Level the Playing Fieldhttp://blog.voucherme.my/category/funny-stuff/By spurring open To IncreaseMarket Needinnovation, providingCompetitiveness inaccess to innovation Technology-Basedresources, and finding TechnologicalFeasibilityBusinessViabilityBusinessesblue ocean opportunity 70. John R. Cyr, Executive DirectorKansas Association of RegionalDevelopment Organizations(785) 738-2218jcyr@nckcn.comBrad Kramer, DirectorAdvanced Manufacturing InstituteKansas State University(785) 532-3722bradleyk@ksu.eduPlease visitwww.gpdionline.com www.innovatekansas.comwww.ncrpc.com www.amisuccess.com www.kansaslogisticspark.com www.networkkansas.com www.greatplainsindustrialpark.com www.sckedd.com www.ami.ncrpc.org www.sekrpc.com