Higher Education Commission

Powering the Knowledge Economy

Prof. Dr. Javaid R. LaghariChairpersonHigher Education Commission

FUNCTI

Development and Knowledge EconomyONS OF THE HEC

World Bank identifies Education and Skilled Force, ICTs and

Innovation as three of the four essential pillars of a Knowledge

Economy.

The World Economic Forum Global Competitiveness Report 2011-12

identifies Higher Education & Training, Technology Readiness and

Innovation as three of twelve pillars for Knowledge Economy.

According to Richard Florida, the author of the creative class,

“Wherever creativity goes, and by extension, wherever talent goes –

innovation and economic growth are sure to follow”.

Not only do higher education institutions help impart the behavioral, cognitive, and technical skills that make workers effective in the labor market, they are increasingly valued as the engines of research that can drive innovation, entrepreneurship, and productivity

Putting Higher Education to Work: Skills and Research for Growth in East Asia

World Bank East Asia and Pacific Regional Report, 2012

The University of Today

The modern university, with its mix of teaching, innovation and

research, is different from the universities of yesteryears, which only

served as teaching grounds.

By introducing innovation, creativity and interdisciplinary research as

a vital component of teaching, and with knowledge exchange

programs, the university contributes more directly to the economy and

the society than many other institutions in the country.

Tertiary Enrollment & GDP

Pakistan

0 1000 2000 3000 4000 5000 6000 7000 8000 90000

10

20

30

40

50

60

PakistanIndia

FinlandIceland

Japan

Norway

Sweden

USA

N.zealand

UK

AustrliacanadaGermany

France

Russia

Spain

China

Indonesia

Iran

Malysia

Turkey

Argentina

ThailandS.Africa

Researchers per million

GD

P (

PP

P)

/ C

ap

ita

(0

00

$)

Value Addition to Economy through Research (2010)

FUNCTI

Universities, Technology and Innovation ONS OF THE HEC

Research & Innovation leading to Entrepreneurship is the key to

economic development Innovation is largely carried out at

universities & institutions of higher learning.

Universities is an instrument in industrial countries for accelerating

technology to enable them to stay ahead of competition.

World War II was a boom for research and development at the

universities:  The jet engine, nuclear power, radar, computers, and

many other technologies took root in the 1940s in the research labs

of the universities.

Technology StartupsONS OF THE HEC New small businesses are the ones creating jobs, according

to a study by Kauffman Foundation.

Since 1980, nearly all net job creation in the US occurred in

firms less than 5 years old. Over the last 4 years, these young

start-up created two-thirds of all new jobs.

Apple startup 1976, valuation $ 508 b, annual sales $ 128 b,

total of devices 200 m

Pakistan startup 1947, GDP (ppp) is $480 b, exports are $ 30

b, Population is 180 m

Facebook startup 2004, , valuation $ 104 b, 900 m users

Instagram startup Oct 2010, 13 employees, bought for $ 1 b in

cash by Apple in April 2012

ONS OF THE HECUniversities and Technology Parks in US

Stanford University triggered the establishment of the Silicon Valley.

HP was the first company to start in a garage in 1939.

MIT and Harvard are responsible for over 1500 hi tech companies

around Route 128 in Boston. An example of a success story:

Companies established just by MIT have turnover exceeding  $11

trillion, roughly the size of Korea's current GDP.

North Carolina State University and Duke University initiated the

Research Triangle (home to some of the largest R&D operations in

the world).

Technology Parks and Europe

The Cambridge Science Park, founded by Trinity College in 1970 is

the oldest science park in the United Kingdom.  It has strong links

with the nearby University of Cambridge.

Ireland is a modern knowledge economy. Since 1970, 17 Institutes of

Technology have been established in Ireland. Today, in terms of GDP

per capita, Ireland is ranked as one of the wealthiest countries in the

OECD.

Recession and R&D

Finland, despite a major banking crisis in 1993, loss of trade and high

inflation, invested in R&D, and its economy grew.

It ranks first in the number of researchers per 1000 population. With a

population less than half that of Karachi, its one high tech company,

Nokia, has more exports ($ 48 b) than all of Pakistan ($ 24 b)

Asian Tigers

East Asian Tigers South Korea, Hong Kong, Singapore and Taiwan

followed Japan’s example through the development of high tech

universities, innovation & entrepreneurship in the 1960s and the 70s.

The fruits are clear: Singapore’s economy grew 189 fold since

becoming independent from Malaysia – its per capita rising from

$512 in 1965 to $36,537.

South Korea became an economic superpower in less than four

decades, increasing its GDP from $3.9 billion in 1960 to over $264

billion in 1990 to $ 1.5 trillion now.

 Emerging Asian Knowledge Economies

Turkey in the last 20 years has built over 43 technology parks attached to

its universities

The largest ones at METU, ITU and Bilkent University with over 700

companies generate revenues of over $ 750 million. 

Turkey’s GDP has grown to over 10% this year, with exports exceeding $

111 billion. 

In Malaysia, Educity in the Johor peninsula across from Singapore is

building seven universities in a development zone three times the size of

Singapore, expecting to attract over $100 billion investment in two

decades

Gulf Countries and Knowledge Economy

Saudi Arabia is building up world class universities.

King Saud University is now ranked among leading Asian universities.

King Abdullah University of Science and Technology was established

with a $ 10 billion endowment. Facilities for research include the fastest

supercomputer in the Middle East and one of the most powerful in the

world, capable of 222 teraflops, or 222 trillion floating point operations

per second.

Qatar and UAE have their own knowledge cities

Iran has excellent universities and an exponential increase in research. It

plans over 50 Technology Parks by 2015

South Asia

India is investing heavily in higher education. Over the next five years,

it will establish 200 new universities.  Nine new IITs will be

established, bringing the total number of IITs to 16.

BanglaDesh to model their UGC along HEC Pakistan

SriLanka after years of investing in school education have realized the

importance of investing in higher education

Higher Education Commission

Serving as an Engine for the Socio-Economic Development of Pakistan

Human Resource

Development

Research & Developm

ent

Socio-Economic Uplift

Establishing Knowledge Capital Hubs in Pakistan

2000-01 2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-110

50

100

150

200

250

300

350

37 4153 56 57 62 65 69 70 73 74

2235

4551 53 56 56 57 57 59 6059

76

98107 110

118 121 126 127 132 134

116

136

168182

192

218229

246 249258

295

Public Private

Total Total Uni + Subcampuses

Creation of Knowledge Hubs(2000 – 2011)

Production of Knowledge Workers

2001-02 2002-03 2003-04 2004-05 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11

0

200000

400000

600000

800000

1000000

1200000

276274331545

423236471964

521473

639597

738373803507

948268

1050175 P

Technology Drivers for Knowledge Exchange

Research &

Innovation

Partnerships

HEIs Infrastru

cture

Video Conf.

PERNKTP

Digital Resources

Quaid-e-Azam, Islamabad. (National Centre for Physics)

Quaid-e-Azam, Islamabad. (National Centre for Physics)

5 MV Tandem Accelerator (Scientific R&D)

MTDC Centre Architectural Engineering

Site Development at Faisalabad Campus Female Student Service Centre

University of Engineering & Technology, Lahore

1947 1952 1957 1961 1965 1969 1973 1977 1981 1986 1991 1995 2000 2004 2008 20090

100

200

300

400

500

600

700

800

(1947-2002)

(2002-2012)

3281

3944

2002

2012

Gearing up for Value Addition (PhDs/Year)

Creating New Knowledge through Research

2002 2003 2004 2005 2006 2007 2008 2009 2010 20110

1000

2000

3000

4000

5000

6000

7000

816 948 10441316

1765

2836

34253939

4963

6200

Pakistan’s Share of World Research

Higher Education and Training

Technology Readiness

Innovation2.7

2.75

2.8

2.85

2.9

2.95

3

3.05

3.1 2009-102010-11

Global Competitiveness ReportsWorld Economic Forum

Pakistan’s Score on selected indicators on Global Competitiveness Index

PAKISTAN: Finally Arriving on World Scene!

According to QS Asian University Rankings 2012 Six

Pakistani universities rank in top 300

◦ NUST (108-150), University of Karachi (191-200) , Aga

Khan University (201-250), UET Lahore(201-250) , LUMS

(251-300) , University of Lahore (251-300)

According to QS World University Rankings 2011, two

Pakistani Universities rank among the Top 300 Technology

Universities of the World!

◦ NUST at 274 and UET Lahore at 281

Shifting Role of HEIs

28

Higher Education

Research

Innovation & EntrepreneurshipTraditio

nal Role

New Role

SOCIO-ECONOMIC TRANSFORMATION

Strategic Thrusts

29

Excellence in Higher Education

Technology ReadinessFocus on Research &

InnovationSpirit of Entrepreneurship

Global Perspective

Socio-economic Impact

30

HEC’s New Initiatives• Five Technology Incubators established in 5

universities (UAF, UET-P, UVAS, NUST and COMSATS).

• Seventeen ORICs have been established, 13 more to be established in next two years

• Three Centers of Advanced Study and Research (Energy, Food Security, Water) launched

• Six Incubators plus one Technology Parks (Islamabad) on the anvil.

Universities Building Economies

Universities Building Leadership

Universities Building Communiti

es

Socio-Economic Development of Pakistan

2011-15: HEC Strategic Focus

HEC’s Goal: Prosperity through Knowledge Economy

It’s high time we woke up to focus on investing in quality higher education,

research, innovation and entrepreneurship, and create a

knowledge economy,

or

Continue being left behind other nations