THE PARTNERS
The National Research Council of Canada, through its Industrial Research Assistance Program (NRC – IRAP) recognizes that in order to address the needs of Canadian technology-oriented small and medium-sized enterprises (SMEs), it will require a balance of technology, business and market-oriented resources, networks, expertise and programs. It also recognizes that, across Canada, there are a myriad of such commercialization activities being provided by regional and national government departments, academic institutions, and members of the private sector. It is NRC’s belief that no one organization can deliver a full set of required business and market services needed to accelerate growth of technology-oriented SMEs, but that a collaborative delivery approach in partnership with other commercialization drivers will provide greater efficiencies of service delivery.
MaRS Discovery District is a not-for-profit corporation founded by leaders from the business and public sectors, to improve commercial outcomes from Canada’s foundation of science and technology innovation. MaRS connects and fosters collaboration between the communities of science, business and capital through co-location in the MaRS Centre, catalytic programs and structured networks and relationships that extend through its web portal and across the province.
Ontario’s Ministry of Research and Innovation (MRI) is currently implementing its Ontario Commercialization Network strategy, of which Regional Innovation Networks (RINs) form a key element. The overall objective of the strategy is to strengthen Ontario’s regional innovation capacity by enhancing and leveraging regional assets to support technology-driven industry growth and development, thereby attracting investment into the province. To date, the province has established twelve RINs throughout the province, substantially focused in the biotechnology and the convergent technology sectors. Key to the success and sustainability of the RINs will be their ability to develop, source and deliver a number of key programs, services and activities within their individual collaborative networks, particularly as they relate to the business needs of their SMEs.
NRC-IRAP, and in particular IRAP – Ontario, believes that a strong working relationship with MaRS can be significantly leveraged through the joint development and delivery of a suite of new and enhanced programs and services to benefit and help achieve the growth of SMEs in the convergent as well as other industrial sectors. One such service - identified jointly by all parties as being critical to SME growth yet substantially lacking in Ontario - revolves around the development of a regional business mentoring network. The goals of both organizations are in many respects similar and both agree that the support to SMEs to grow and commercialize their scientific and technological achievements in a business environment - whether in Ontario or elsewhere in Canada - can only be strengthened through working together.
THE FOCUS
While SMEs are important to our economy, many of them find that they lack sufficient expertise to grow in critical areas. Having access to the right networks of information and resources can make a big difference in helping SMEs succeed. Mentoring is a business-to-business relationship that includes learning, information sharing, and networking among firms and intermediaries. These relationships can be essential to business success and a vital resource to help communities – or innovation networks – grow.
In today’s global economy, high-performance businesses of all sizes and industries must constantly learn, evolve, and pursue new markets. Relationships that provide opportunities for learning, information, networking and collaboration can also determine the difference between success and failure. Business-to-business relationships can create mutual benefits for larger companies as well as smaller companies, or between firms in the economic mainstream and firms that have less access to resources.
The Ontario Regional Business Mentoring Network is being developed to assist in helping SME clients of the RINs obtain the expert assistance they may require in order to solve these and other pressing business challenges.
THE PROGRAM
RINs will be responsible for both identifying their SME needs and recommending mentors to a province-wide database from which other RINs and their SMEs can benefit. MaRS will flow payments to mentors after specific assignments have been completed to the satisfaction of both SMEs and their partner RIN. (MaRS will not be involved in determining project completion or assessing project quality.)
The partners feel that SMEs will place more value on the outcomes of the mentoring services if there is some cost to them associated with the venture. In this context, there will be a requirement that 5 – 15% of the cost of any service will be borne by the SME(s) and payable directly to the RIN. The cost to the client will be determined by the RIN but it must be at least 5%.
THE PROCESS
There are five key stages:
• STEP 1: Problem Identification – An SME identifies a focused business problem that is preventing their development, growth or expansion. This identification process will often involve significant input from the relevant RIN, and frequently emerge as part of regular coaching and entrepreneurship assistance programs. Although the purpose of the program is to maximize the flexibility of SMEs to address their own critical challenges, we expect that the majority of the benefits accruable to SMEs through the mentoring process will include:
o Obtaining technical advice
o Enhancing managerial development
o Leveraging core technical and business strengths
o Accessing sources of financing
o Developing strategies to strengthen IP position
o Increasing marketplace credibility
o Entering subcontracts and joint ventures
o Mapping out global growth strategies
• STEP 2: Application – The SME, or group of SMEs, fills out a “Mentor Request Form” and registers its request with their relevant RIN. A RIN itself may occasionally complete an application themselves, on behalf of one or more of their SME clients.
• STEP 3: Mentor Matchmaking & Selection – The RIN will then work with MaRS to identify a suitable mentor. The RINs themselves can suggest local mentors as appropriate matches, provided those mentors are registered within the database. (See the attached draft “Mentor Registration Form” for details on the simplicity of the registration process). The RINs can also engage MaRS in discussion to help identify appropriate out-of-province mentors for specific business problems. For example, it may be appropriate to bring in a foreign business professional to discuss global marketing strategies. The goal will always be for the RINs and MaRS to jointly identify a small group (3-4) of appropriate mentors from which SMEs can select a “best fit” match.
• STEP 4: Project Work and Payment – After a mentor has been selected and the project has been completed to the satisfaction of both the RIN and the SME, the RIN will be in charge of informing MaRS of the project’s completion. MaRS will arrange payment directly to the mentoring service provider. The RINs are kept informed and involved throughout this entire process.
• STEP 5: Assessment & Appraisal – Both the mentoring service provider and the SME will be responsible for completing a post-service evaluation to document their respective experiences, and to begin building an inventory of common activities and approaches, best practices, and recurring challenges. IRAP and MaRS will work together to provide the appropriate evaluation documents.
ROLES AND RESPONSIBILITIES
Part of the success of this program comes from its ability to combine the goals and resources of five key players within the Ontario commercialization ecosystem:
• SMEs are responsible for identifying problems and challenges whose resolution can be accelerated and amplified by a mentoring service provider. The problems must be focused and finite, and they must deal with a specific, articulable business challenge.
• RINs are responsible for working with their regional SMEs to identify focused business programs, actively nurture regional mentors, and then feed those networks into an Ontario database to facilitate true pan-provincial matchmaking. RINs are also responsible work working with the SME to determine when each project is completed to their mutual satisfaction, aggregating invoices from mentors working with their SME clients, and passing these along to MaRS.
• NRC - IRAP is responsible for supporting the program both financially and strategically, as well as using the mentorship initiative to help its network of Ontario Industrial Technology Advisors ( ITAs) support the invaluable work of the province’s 12 RINs. In particular, IRAP ITAs will assist in identifying and encouraging the emergence of regional mentor networks and their registration within the MaRS-hosted provincial database.
• MaRS is responsible for hosting and maintaining the province–wide database, facilitating an organized and simplified mentor registration process, and managing the financial transactions associated with the provision of mentoring services associated with each RIN’s funding allocation.
• Mentors are responsible for registering with the MaRS-hosted database and fulfilling their contractual obligations relating to coaching, counseling, facilitating and problem-solving.
The Bottom Line
Turning great Canadian ideas into great Canadian companies is a challenging process – but one whose success is a vitally important if Canada is to remain a prosperous and competitive country. Ontario’s RINs play a vital role in driving the innovation ecosystem of Canada’s largest province, and by combining the networks and financial support of NRC - IRAP with the logistical and technical support of MaRS, the Ontario Regional Business Mentoring Network will only amplify the invaluable assistance that RINs provide companies in their respective regions and throughout the Ontario Commercialization Network as a whole.